Which of the following is not an exception to the First-time Homebuyer Credit Repayment requirement?

The First-time Homebuyer Credit was designed to encourage homeownership by providing a credit to individuals who purchased their first home. However, this credit comes with a repayment requirement under certain circumstances. Understanding the exceptions to this repayment requirement is crucial for accurately applying the tax laws involved.

The scenario that does not provide an exception to the repayment requirement is the early payoff of a mortgage. The requirement to repay the credit is tied predominantly to specific life events or changes that impact ownership of the home, such as the death of the original homebuyer, destruction of the home, or a transfer of ownership due to divorce. In these cases, the circumstances may warrant relief from the repayment obligation as they involve significant changes in the ownership status or the property's existence.

On the other hand, simply paying off a mortgage early does not change the ownership of the home or affect the terms of repayment for the credit. It is a financial decision that does not alter the original requirements or obligations tied to the First-time Homebuyer Credit, thus making it the correct answer in this context. The repayment is still required regardless of whether the mortgage is paid off early.