$8,000 first time home buyer tax credit is now a reality. Designed to stimulate the first time home buyer market, President Obama signed the American Recovery and Reinvestment Act into law yesterday. One of the key features that will provide immediate impact to struggling first time home buyers is the $8,000 first time home buyer credit.
What is it? It's an actual tax credit of up to $8,000 dollars given to first time home buyers. It's based upon the purchase price of your new home and will pay 10% or up to $8,000 whichever is less. Unlike the former $7,500 program, the new plan does not require repayment if the purchaser holds the property for 3 years.
Who qualifies? First time home buyers or new purchasers of owner occupied homes who have not owned a home in the past 3 years. Eligible purchase dates are Jan 1 2009 to November 30 2009. Hint, now may be a nice time to call your local lender and get yourselves approved for a home loan?
Do I really get a check? Yes, the $8,000 tax credit will be applied to your 2008 or 2009 tax liability. If you normally overpay and get a refund, this credit will be issued on top of that refund. If you normally owe taxes, the credit will be applied against your obligation and you'll receive the remainder.
How do I claim it? Make sure you tell your tax preparer or accountant about your new purchase while filing your taxes. If you've already purchased a new home in 09 it may be possible to file an amended return. Check with your tax professional for the best course of action to claim your $8,000 first time home buyer tax credit.
Additional help for Pierce County Washington first time home buyers is available as well. Down payment assistance programs, zero down loans, and low down payment government loans are still readily available. Follow this link to begin searching for the best first time buyer deals on the Pierce County real estate .
Comments (0)Subscribe to CommentsComment