As published in The Daily Breeze HOME GUIDE
FIRST-TIME BUYERS : ACT NOW BEFORE THE ‘FIRST-TIME HOMEBUYER
TAX CREDIT' EXPIRES IN NOVEMBER
Up to $8,000 Credit is Like Free Money in Your Pocket!
While we are currently experiencing a hot ‘buyers market' in real estate, it is the first-time buyer who can really win big in the next two months by taking advantage of the First-Time Homebuyer Tax Credit of 10 percent of the purchase price of their new home, up to $8,000, before it expires on November 30, 2009.
"A first-time homebuyer has so much buying power & advantages on their side right now, but even more if they invest in a home by November 30," stated Elaine Mallon, Broker Associate with Coldwell Banker, Palos Verdes / South Bay Beach Cities, who also serves the San Pedro Peninsula.
Tax laws already allow homeowners to itemize and deduct the mortgage interest and property taxes from their taxable income, but First-Time Buyers can substantially increase their tax benefits on top of that as a result of the Federal Stimulus bill that was signed into law earlier this year, a measure designed to help revive the real estate market.
"For the purposes of this tax credit, a ‘first time homebuyer' is someone who has not owned a principal residence for three years before buying a house," comments Elaine. "Also, the purchase made by November 30 must be their principle residence to qualify for the credit. This is like free-money, which just puts dollars back in your pocket where it belongs."
The tax credit is subject to income limitations. Single buyers need a modified adjusted gross income of $75,000 or less to qualify for the maximum credit, and $150,000 for married couples. Those earning more than the thresholds may be eligible for reduced credits, and are encouraged to consult an accounting professional.
"The benefits of homeownership, coupled with the bargains in the market right now AND the historic-low interest rates, are compelling reasons why the market is finally rebounding. On top of all this, first-time homebuyers can really maximize their investment dollar further if they act during this short window of opportunity," concludes Elaine.
While it's a special time to be a buyer.... it is a phenomenal time for the first-time homebuyer until November 30th!
Elaine Mallon is a licensed Real Estate Broker (DRE #01325954) and an Award-Winning Marketing, Publicity & Business veteran. She is also a Certified Negotiator, Certified Relocation Specialist, Certified Palos Verdes Peninsula Area Specialist, Certified CARTUS Marketing & Inventory Specialist, and member of Coldwell Banker's International President's Elite. She is also a frequent contributor to the Daily Breeze and Peninsula News for real estate matters that affect Home Buyers & Sellers today. For a superior level of service, contact Elaine directly at (310) 544-8453 or on the web at: www.CaliforniaMoves.com/Elaine.Mallon. She is eager to help you!