The government has created a monetary incentive, a tax credit for first-time home buyers as a tool to stimulate the housing market.  The tax credit will be 10% of the purchase price of a home, up to a maximum of $7,500.   If the home costs more than $75,000, first-time home buyers (anyone who has not owned a home in the last 3 years) will receive the full $7,500 tax credit.  There are income limits to qualify for this incentive.