I had a first time home buyers loan in 2008. After a bitter breakup with my spouse I lost the house to the owner in 2012. Kind of a repossession. He sold the house to someone else and eventually the house was torn down. I neither received any money or lost from his resale. How do I repay this. Can I just amend my return to pay off or do I have to file form 5405. That form is confusing as well

Aslongas you , a transferor spouse, transfer your home as part of a divorce settlement, your former spouse , as a transferee spouse, who keeps the home is responsible for making the rest of the repayments and you are not responsible for making any remaining repaymentsFortunately the IRS has some mercy when circumstances are beyond your control. For example, if you deed your home to your spouse in a divorce settlement, there?s no recapture of the tax credit (but your spouse does have to repay the credit over the remainder of the fifteen years and triggers the recapture if he moves out within the 15-year period).