[savanman3]

I am 18 years old and am in college. My mother passed away recently. I received a copy of her will. Myself and my 2 sisters are the beneficiaries each owning equal shares. In the trust, there is a Bill of Sale for all her property to the trust. My sisters wanted to keep the house. So, I agreed. One of my sisters signed a document... A "Trustee's Warranty Deed" where the trust sold the house to the beneficiaries (myself and 2 sisters) for $1 as "Tenants in Common". Hereinafter called "Grantees". I know that first time home buyers get incentives like lower interest rates. I've never bought a home. Will this have an affect on the interest rate when I apply for a mortgage as a first time home buyer. I know I'm not eligible for the current tax credit. But, that's OK because I'm in college. I just want to know will I be considered a first time home buyer to banks in the future.
Thanks,
Bill

[ScottGem]

I do thing you will be considered a first time buyer since you didn't actually buy the house, you inherited it. However, the introduction of a trust to this may make a difference.

Normally, in a will, property is bequeathed to the heirs. But that's not what happened to you. Instead, you mom sold all her property to a trust, probably as a tax thing.

I'm not sure why your sister thought the trust had to sell the property to the three of you. If your sisters wanted to leep the house you could have had them buy you out.

I would strongly advise consulting the attorney that set up the will/trust to see what's going on here.

[sandkicker]

RE: "I know that first time home buyers get incentives like lower interest rates"...

No, not really... other "incentives", but not really lower rates.

The underwriting definition of a first time home buyer is "One who has not held an ownership interest in a home within the last three years"