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First Time Home Buyer Tax Credit Extended and Expanded to include Repeat Buyers

FEATURE	Jan 1 – November 30, 2009 Rules as enacted February 2009	December 1 – April 30, 2010 Rules as enacted November 2009
First-time Buyer – Amount of Credit	$8000 ($4000 married filing separate)	$8000 ($4000 married filing separate)
First-time Buyer – Definition for Eligibility	May not have had an interest in a principal residence for 3 years prior to purchase	-Same-
Current Homeowner – Amount of Credit	No Provision	$6500 ($3250 married filing separate)
Effective Date – Current Owner	No Provision	Date of Enactment
Current Homeowner – Definition for Eligibility	No Provision	Must have used the home sold or being sold as a principal residence consecutively for 5 of the previous 8 years
Current Homeowner – Home Purchase Price	N/A	There is no provision that the "repeat" homebuyer must purchase a property more expensive than the one sold. Only that the home purchase must be less than $800K.
Termination of Credit	Purchases after November 30, 2009.(Becomes April 30, 2010 on Date of Enactment.)	Purchases after April 30, 2010
Binding Contract Rule	None	Written binding contract to purchase is in effect on April 30, 2010, the purchaser will have until July 1, 2010 to close
Income Limits	$75,000 – single, $150,000 – married, Additional $20,000 phase out	$125,000 – single, $225,000 – married, Additional $20,000 phase out
Limitation on Cost of Purchased Home	None	$800,000
Purchase by a Dependent	No Provision	Ineligible
Antifraud Rule	None	Purchaser must attach documentation of purchase to tax return

Purchase by a Dependent

There was no age limitation on the original bill and amended for the November Tax Credit. Taxpayer must be at least 18 years old to qualify for the credit. For married taxpayers, the taxpayer shall be treated as meeting the age requirement if the taxpayer or spouse meets the age requirement.

Repeat Buyers

There is no criteria that home buyers must "move up" in house. Only that they lived in the house for the past 5 out of 8 years as a primary residence. The new purchase price must not exceed $800,000.

Date of Enactment = November 6 2009.

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Loreena Yeo
Realtor®/ Broker of 3:16 team REALTY
(214) 783-2210
loreena@loreenayeo.com

Super-serving Frisco, Plano, Dallas, McKinney, Allen, Little Elm, Prosper, Celina, Richardson, Dallas M-Streets, Dallas White Rock Lake area communities and other surrounding areas.

Copyright © 2009 by Loreena Yeo (3:16 team REALTY)
Originally Posted on First Time Home Buyer Tax Credit Extension & Expansion

Posted by Loreena Yeo - Broker|Realtor(R) of www.Frisco-TX-Homes.com (214) 783-2210 on 11/06/2009 06:24 PM

Comments (16)

First Time Home Buyer Tax Credit Extension in the Home Buying Channel

first time home buyer 8000 tax credit

Originally posted at: faithfully frisco tx homes for sale: First Time Home Buyer Tax Credit Extended and Expanded to include Repeat Buyers

This post has been included in Texas Information Collin County, TX Information Frisco, TX Information
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Post is included in group: 1st Time Buyers

16 Comments on First Time Home Buyer Tax Credit Extended and Expanded to include Repeat Buyers

NOV

I am curious to see how many posts I can find in the next 5 minutes on tax extensions... this is number 4!

Ruth - It doesnt matter. We each have influence over our own readers. I'm posting this for mine and you should for yours also.

Loreena:

What a great chart. You have done a terrific job at explaning everything here.

Loreena - this is a great chart, and it helps everyone understand where they are in this process. Have a great weekend.

Hi Loreena, I like how your chart compares the differences in the tax credit rules. I have a few clients that are going to be so glad to know about this.

Hi Loreena... Nicely done and explained. Somehow charts are the best way to communicate programs like this one.

I was happy to see that the $8k was kept the same.

I LOVE THE IDEA FOR USING A CHART TO EPLAIN IT TO THE BUYER AND TO ME... GREAT JOB.....

Having this credit will help my buyers move off the fence ,so that they can purchase their dream home and get something back in return.

NOV

Great Chart you are offering. One of the difference is the limit of the purchse..but then if its over $800,000..should they get a $8,000 break for a couple? Probably not.

Thanks for creating a chart on this program. Have a great weekend

Donna - I just feel that it's much easier to read in this format than the long paragraphs I've seen. I'm an engineer, I scan when I "read". And I read charts and bullet points much faster. It works for me.

This chart is made for the visual people.

This is fantastic news for ALL home buyers.

NOV

Loreena - This is a super format indeed ! We did something similar on the last one, but instead of repeating it, just reblogged yours ! Thank you !!! You rock. I do think that this tax credit is Real Stimulus for our economy and like the fact that a buyer needs to be under contract by April 30. That was a smart addition whereas the current one was going to cause a lot of problems having to settle by Nov 30.