two questions on house mortgage

[allaboutcredit]

I have two questions on house mortgage !

My wife is buying a house and its closing in this month's end. I am not in the mortgage and she is rushing because she might lose her

job in the coming months. And she also wanted to avail the benefits of the stimulus package which is applicable till nov 09 ?

1. What happens if we move to a new city and put our house on rent ? I heard the ownership should be held by the same person for three years.
2. I am not in the mortgage deal but I guess I could hop onto the house deed ?

thanks !

[Anonymous]

You must keep your home for 3 years if you want to keep the $8k tax credit otherwise you have to pay it back.

[Anonymous]

Rental properties do not qualify for the tax credit.... not sure how they would find out if you original purchase a home and then move out and rent it but you're looking for trouble if you do.

[ShanetheMortgageMan]

Sorry if this is too personal of a question, but if she might lose her job in a few months, is she going to be OK with making the mortgage payments if her income stops?  Or is there a backup plan to be able to continue making the payments if she does lose her job?  Personally if my job security could be in jeopardy, until I could solidify things, I'd hold off on any major purchases that'd marry me to a payment.

[Anonymous]

In addition to keeping the house for three years, you'll have to repay the credit if it ceases to be your 'principle residence' during that time.

[allaboutcredit]

Hi Shane - we have a backup plan. That is how I come into this

She is v keen on buying the house because she thinks she might not be able to buy again for a couple of years with the change in her job scene.

Alright, I got the info - We have to live there. 

It was just a vague thought. We are in Pittsburgh, the city is good for living but prospects are meagre so was wondering if in the coming times, we should 

move to a larger city like Philly or Chicago.

[ShanetheMortgageMan]

Gotcha, just making sure you have a plan  

What about a potential job change would make her ineligible to buy a home?  Is she being switched to 1099/contract worker, self-employment, or will majority of her income be made up of commissions/bonuses/OT and she doesn't have a 2 year history of receipt?  Inquisitve minds would like to know.