Tax Credit Changes for First Time Buyers and Current Home Owners

Congress has extended and expanded the homebuyer tax credit. The modifications in the column labeled
"December 1 - April 30, 2010" become effective when President Obama signs the bill. All changes made
to the current credit become effective on that date, as well.


First Time Buyer - Amount of Credit - $8000 ($4000 married filing separate)

Current Homeowner - Amount of Credit - $6500 ($3250 married filing separate)

First Time Home Buyer Definition for Eligibility - May not have had an interest in a principal residence for 3 years prior to purchase

Current Homeowner - Definition for Eligibility - Must have used the home sold or being sold as a principal residence consecutively for 5 of the previous 8 years Purchases after November 30, 2009. (Becomes April 30, 2010 on Date of Enactment.)

Binding Contract Rule - So long as a written binding contract to purchase is in effect on April 30, 2010, the purchaser will have until July 1, 2010 to close.

Income Limits (Note: Increased income limits are effective as of date of enactment of bill)-
First Time Home Buyers: $75,000 - single, $150,000 - married, Additional $20,000 phase out
Current Homeowners: $125,000 - single, $225,000 - married, Additional $20,000 phase out

Limitation on Cost of Purchased Home -
First Time Home Buyers: None
Current Home Owners: $800,000

For Property information that will assist you in obtaining this Tax Credit go to:

http://www.Kammie.BestSonomaHomeSearch.com