Account Holder:
An individual who establishes, either individually or jointly with another
individual with whom they file joint tax returns, an account with a financial
institution for which the account holder claims a First-Time Home Buyer Savings
Account status on his or her income tax return. Account holders that are qualified
First-Time Home Buyers can establish themselves as the beneficiary. An individual
account holder can have unlimited accounts, but each account must have separate
designated beneficiaries.
Designated Beneficiary: The individual designated by an account
holder as the individual whose eligible expenses are expected to be paid from the
account for the purchase or construction of a primary residence in this state. An
individual may be the beneficiary of more than one account if they are held by
separate account holders.
An account holder may change the designated beneficiary at any time, but no account
shall have more than one designated beneficiary at any time. No account holder shall
be authorized to designate the same designated beneficiary on multiple accounts held
by such account owner.
Eligible Expense:
Funds in a First-Time Home Buyer Savings Account can be used for down payments and
closing costs that may be included as part of a real estate settlement agreement,
including, but not limited to, appraisal fees, mortgage origination fees and
inspection fees or any down payment, costs and fees that may be included as part of
financing the construction of a primary residence. The residence must be located
within the State of Kansas, unless the designated beneficiary is an active-duty
member of the military who was stationed in Kansas for any time after the creation
of the account.
Funds may also be transferred to another newly created account or used to pay
service fees assessed by the financial institution.