First-Time Home Buyer Definition
First-Time Home Buyer refers to an individual who had no ownership in a principal residence during the 3-year period before the date of purchase of a property. This includes a spouse, if either meets the above test, and also a single parent who only owned a property with a former spouse while married. An individual who only owned a property that was not in compliance with building codes and which cannot be brought into compliance for less than the cost of constructing a permanent structure is also considered a first-time homebuyer.