I have a friend who owns 2 houses side by side. He has two grandchildren who live in the second house with their daughter(mother of the grandchildren) and my friend pays for the expenses of both homes. My friend pays for over 1/2 of the grandchildren's support. Since the grandchildren resides in the second home, can my friend claim the grandchildren as dependents and also the child tax credit even though the grandchildren do not reside with him in his first house?