Good news! The home buyer tax credit has been extended! The new expiration date is June 30th, 2010.
Notice anything missing from that opening line? I have omitted the words "first" and "time" because 'move-up' buyers are now potentially eligible as well (conditions apply see IRS for details etc. etc. etc.). I suppose you could be a move-down buyer as well though... AND it's not well-publicized but almost any home that is your primary residence qualifies. Always wanted to live in a house-boat? Here's your credit. Thought about touring the country in an RV? Yep! You could qualify.
Just remember -- if you don't want to have to pay the credit back, you must live in the home as your primary residence for 3 years. That might be pushing it for the RV trip... Here's a run-down on important considerations;
The new guidelines are effective for transactions that close after today. If your home is closing on November 7th or after (up to June 30th of next year), these new guidelines apply to you.
New Guidelines
Income caps have been increased substantially. The new cap to receive the full credit is now $125K for a single filer or $225K for a joint filer. There is a $20K 'phase-out' on the income, if you make more than the $125K/$225k you would be eligible for a partial credit until your income is over $145K/$245K.
If you're a "long-time homeowner" who has lived in your home for at least 5 out of the last 8 years, you may also qualify for a tax credit if you buy a replacement primary residence before the June 30th, 2010 deadline. The amount is slightly different: $6,500 if you're single or you are filing jointly. If you're married but are filing separately, the amount is cut in half to $3,250.
No more last-minute rush! The new guidelines require home buyers to be under contract on or before April 30th, 2010 to qualify for the credit. But then you have 60 days to close.
If you'd like to read the news release from the IRS's Web site, here it is.
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