First Time Home Buyer Tax Credit
Homebuyer Tax Credit Extended
For more information, please contact:
Stephanie Walgrave 612-419-9429
or Stephanie@walgrave.com
When is the new deadline?
• April 30, 2010
• If a written, binding contract to purchase a home is in eff ect on April 30, 2010, the qualifi ed
buyer will have until June 30, 2010 to close
What is the maximum allowable credit available to a qualifi ed buyer?
• $8,000 for a fi rst-time homebuyer ($4,000 married, fi ling separately)
• $6,500 for a current homeowner ($3,250 married, fi ling separately)
Who qualifi es for the extended credit?
• First-time homebuyers who purchase homes between November 7, 2009, and April 30, 2010;
homebuyer and spouse must not have owned a principal residence for three years prior to
home purchase
• Current homeowners who buy homes between November 7, 2009, and April 30, 2010,
and have used the home being sold or vacated as a principal residence for fi ve consecutive
years of the previous eight years
• In addition to previously-required documentation, buyers must also include documentation of
purchase with tax returns to secure the credit
What are the income limits for the newly-extended credit?
• $125,000 for single buyers and $225,000 for married couples (additional $20,000 phase-out
allows for partial tax credit)
• Homebuyers who earn more than the maximum qualifying income ($145,000 for singles,
$245,000 for married couples fi ling jointly) are not eligible for the credit
What is the maximum home purchase price?
• Th e maximum home purchase price is $800,000
Will the extended credit need to be repaid?
• Th e credit does not have to be repaid as long as the buyer occupies the purchased home as his
or her principal residence for more than three years
• If the home is sold within three years of purchase, the full credit amount must be repaid
Not a commitment to lend.
Borrower must meet qualifi cation criteria.
Offi ce: 952-226-7777
stephanie@walgrave.com