The National Association of Realtors put out this fantastic FAQ about the $7500 tax credit that first time home buyers may be eligible if they purchase a home between April 9, 2008 and July 1, 2009.  Included is info on repaying the tax credit, which was not fully fleshed out when the credit was announced, and sounds like it still totally isn’t.  Basically, you don’t have to start repaying the tax credit until 2010 if you purchased in 2008 and 2011 if you purchase in 2009.

While repaying the tax credit makes it sound less exciting, understand the government is giving people the money at 0% interest, plus renters will go from having no tax advantage to lots of deductions with property taxes and mortgage interest.  So, even though the credit has to be repaid, home buyers won’t notice the repayment as they are suddenly getting deductions they weren’t used to getting.

But read the whole thing here: NAR Tax Credit FAQ