The home buyer Tax Credit Bill has been extended and expanded. If you are a first time buyer, or a home owner who has lived in your current home for 5 of the last eight years, you are eligible for tax credits on the purchase of a new home. New buyers — anyone who has not owned a home in the previous three years — are eligible for up to an $8,000 Tax Credit while current homeowners are eligible for up to $6500.00 tax credit.
To qualify all potential homeowners must secure a binding contract to purchase buy April 30, 2010 and escrow must close by June 30, 2010. The tax credit bill has already generated over $22 billion for the general economy. Approximately 2 million people availed themselves of this tax credit in 2009. Just because the government authorized this extension, don’t count on there being more!
This Caldwell Banker video provides further details:
As you just heard, the income ceiling has been raised. A single buyer earning $125,000.00 or less annually, or married purchasers earning $225,000.00 or less annually qualify for the home buyer’s tax break. There is a $20,000.00 phase out, which will allow potential homeowners who earn less than $20,000.00 more than the ceiling limits to receive a partial tax credit.
For more information, listen to the above video, then visit CaldwellBanker.com.
The house being purchased cannot exceed $800,000.00.
Quilly, thank you for sharing this update on the home buyer tax credit. This is very helpful for many interested buyers. Keep on helping out.