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First Time Home Buyer Tax Credit
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This is a deal that's hard to beat. In February of 2009, the goverment enacted a Homebuyer Tax Credit program that can put as much as $8,000 back in the pocket of qualified buyers. In November of 2009, the stimulus was extended and provisions were made for existing homeowners to benefit as well. Here are the main features of the extended stimulus package. Remember... You must be under contract by April 30, 2010 and close by July 1, 2010 to qualify.
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- Amount of credit - $8,000 ($4,000 married filing separately).
- Eligibility - may not have had interest in a primary residence for three years prior to purchase.
- Termination of credit - must be under contract by April 30th, 2010 and close by July 1, 2010.
- Income limits - $125,000 for singles and $225,000 for married couples.
- Limitation on cost of purchased home - $800,000.
- Purchasing for a dependent - dependents are ineligible.
- Anti-fraud rule - purchases must attach documentation of purchase to tax return.
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Amount of credit - $6,500 ($3,250 married filing separately).
Eligibility - must have used the home sold or being sold as a principal residence consecutively for 5 of the 8 previous years.
Termination of credit - must be under contract by April 30th, 2010 and close by July 1, 2010.
Income limits - $125,000 for singles and $225,000 for married couples.
Limitation on cost of purchased home - $800,000.
Purchasing for a dependent - dependents are ineligible.
Anti-fraud rule - purchases must attach documentation of purchase to tax return.
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