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Assuming you meet the requirements (1st time homebuyer, under the purchase price limit, under the income limit, etc.) then the answer is: For part of the year there was. When did your contract get accepted and when did it close? Both of those dates may be a factor in whether you qualify.
However, the IRS website says if you made a qualifying purchase in 2010, you have the option of claiming it on your 2009 or 2010 return. No mention is made of the 2011 return. That may just be that they haven't updated, or it may be that you will have to file an amended 2010 to get the credit. Probably best to consult an accountant.
The IRS is sending out letters on those that received credits, I hear. I had a lady call me, she got the 2009 tax credit and was furloughed to 40% of her normal hours and pay. Of course this stretcedh her budget and she was forced to try to sell. (This gets better)......Because her pay no longer covered her 401k loan to buy the home, the note was paid off from the principal savings balance. After she bought, values continued to drop where she bought (better than average condo community) and now buyers that are purchasing in this kind-of upscale community (nice TH-type condos) are having trouble finding financing for resales.....so everyone's listings has dropped values well below where she bought. But wait, she got a letter 3 days after the foreclosure advising her if she terminated homeownership for any reason before 3 years, she would be required to payback the tax credit. So she calls IRS and verifies, she now she owes the 8K back and there is no way out on IRS debt.
Let's recap, now has liquidated 401k (taxes and penalty to be paid), upside down on value, and now owes the tax credit back. Wow, what a bargain.
Moral of the story: Sometimes that free money can cost you everything.
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And it is worth reminding folks...
