The following provides basic information about the tax credit. If you have more specific questions, we strongly encourage you to consult a qualified tax advisor or legal professional about your unique situation.
* To be eligible to claim the tax credit, buyers must have owned and lived in
their previous home for 5 consecutive years out of the last 8 years.
* The tax credit does not have to be repaid.
* The tax credit is equal to 10 percent of the home's purchase price up to a
maximum of $6,500.
* The tax credit applies only to homes priced at $800,000 or less.
* Single taxpayers with incomes up to $125,000 and married couples with
incomes up to $225,000 qualify for the full tax credit.
* The credit is available for homes purchased after November 6, 2009 and on
or before April 30, 2010. However, in cases where a binding sales
contract is signed by April 30, 2010, the home purchase qualifies
provided it is completed by June 30, 2010.
Labels: 2009, 2010, 6500, home buyer, move up, repeat, tax credit
The link below will take you to the National Association of Home Builders (NAHB) website.
It has good information on the details of the revised tax credit bill just extended for eligible buyers entering into contracts thru April 2010 and closed by June 2010. Not only does it contain the 1st time homebuyer tax credit of up to $8000.00, but it also includes a tax credit of $6500.00 for repeat buyers owning their current home for at least 5 years.
Labels: 2010, 6500, 8000, extended, home buyer, NAHB, national association of home builders, tax credit
The House voted 403-12 today to expand a popular tax credit for homebuyers. The bill, H.R. 3548, which also extends unemployment benefits and expands a tax break for money-losing businesses, will now go to the President, who plans to sign it on Friday.
First-time homebuyers have been getting tax credits of up to $8,000 since January as part of the economic stimulus package. But with that housing program scheduled to expire at the end of November, the House voted to extend it into the spring — and to expand it to many people who already own homes.
Buyers who have owned their current homes at least five years would be eligible, subject to income limits, for tax credits of up to $6,500. First-time homebuyers — or people who haven't owned homes in the previous three years — could get up to $8,000. To qualify, buyers have to sign purchase agreements before May 1 and close before July 1.
The credit is available for the purchase of principal homes costing $800,000 or less, meaning vacation homes are ineligible. The credit would be phased out for individuals with annual incomes above $125,000 and for joint filers with incomes above $225,000.
Labels: 2009, 3548, 6500, 8000, first time, home buyer, housing, tax credit
