The petitioner, in early 2007, entered into an agreement with a homeowner to lease the home. The agreement also contained an option for the petitioner to acquire the home upon meeting certain conditions before the option expired on January 31, 2008. The petitioner paid for the option and an additional amount per month to be applied against the purchase price if the option was exercised. The petitioner did not exercise the option due to the inability to get financing. The third party filed bankruptcy in late 2008, and the petitioner filed a complaint in the bankruptcy estate claiming that the third party had tried to defraud her concerning the option contract. The petitioner's complaint was dismissed. The petitioner claimed the FTHBC of $7,500 on her 2008 return which the IRS rejected. The court upheld the IRS position, noting that the petitioner did not produce any settlement statement, closing statement, purchase agreement or any other document to substantiate that she had purchased or acquired an interest in the home. Because the petitioner did not execute the option, she did not have any equitable in the house either. Pittman v. Comr., T.C. Memo. 2015-44.