Two small wooden model houses alongside a white clock face, illustrating blog post “When Are You Considered a First-Time Home Buyer Again?”

When Are You Considered a First-Time Home Buyer Again?

Alabama was recently listed as one of the best states for first-time home buyers by Yahoo Finance! One of the biggest reasons our state wins out is because the average single-family home in Alabama is priced $125,000 below the national average, a huge advantage for first-time home buyers. Additionally, first-time home buyers in Alabama can access the Step Up mortgage assistance program if their annual household income is below $130,600.

“But how does this benefit me?” you might think, “I was a first-time home buyer years ago. Can you be a first-time home buyer twice?” We’re happy to answer that with a big YES! It’s possible to be considered a first-time home buyer again.

Who Qualifies as a First-Time Home Buyer?

Contrary to what many think, being a first-time home buyer isn't limited to those who have never owned a home before. If your situation fits within any of the following standard qualifications, you might be considered a first-time home buyer again:

  1. Haven’t Owned a Home in the Past Three Years: Examples of who might fall within this category are people who purchased a home then sold it and haven’t bought/owned a house for at least three years since.
  2. Owned a Home That Was Not Affixed to a Permanent Foundation: If your previous home was not permanently attached to a foundation (like certain mobile homes), you may qualify.
  3. Owned a Property That Was Not in Compliance with Building Codes/Structurally Unsound: If your previous ownership was of a property that was not up to code and could not be brought into compliance for less than the cost of constructing a permanent structure, you might qualify.
  4. Owned a Home with an Ex-spouse: If you have previously co-owned a home with your ex-spouse, you still qualify as a first-time home buyer (this applies regardless of whether your name was listed on the property's deed or mortgage).

First-time home buyer assistance programs (like low down payments, closing cost support, home buyer education programs, and tax breaks) are designed to make the dream of homeownership more accessible. Don’t stop yourself from taking advantage of first-time home buyer perks simply because you previously owned a home. Research your specific situation to confirm, but be aware that you might qualify again as a first-time home buyer!

Looking for Property in the Best State for First Time Home Buyers?

If you're interested in buying your “first” home in Alabama (the BEST state for first-time home buyers!), Leslie Davis is ready to assist you. Leslie and her crew at KPT can help you find your ideal home and guide you toward helpful programs and resources offered for first-time home buyers in Alabama. Start your home search today - contact Leslie & KPT!