New legislation allows first time homebuyers to be eligible for a tax credit up to $8,000 which, unlike last year’s credit, does not need to be repaid. Purchasers must settle on the home between January 1, 2009 and December 1, 2009 and certain income limits apply. “First time homebuyer” is defined as not having owned a home in the last three years. To determine if you are eligible, go to this website for more details. This, combined with historically low interest rates could make this an excellent time to buy your first home.