First-Time Homebuyer Tax Credit Extended & Expanded

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Real Estate Agent with Realty Group Referrals 16766

Mortgage News

First-Time Homebuyer Tax Credit Extended & Expanded

On November 6, 2009, President Obama signed a bill into law that immediately extended the popular tax credit program offering up to $8,000 for qualified first-time homebuyers (FTHBs) into the first half of 2010.

The bill also instantly expanded the program, offering up to $6,500 in tax credits for qualified repeat home buyers, swinging open the door for even more qualified homebuyers to take advantage of this valuable opportunity at a time when mortgage rates are still near historical lows.

First-Time Buyers
For FTHBs (defined as someone who has not owned a primary residence in the previous 36 months, prior to closing and the transfer of title), the basic rules remain the same, with one important exception - higher income limits are now in place, increasing the pool of potential buyers eligible for the tax credit of up to 10% of the purchase price or up to $8,000. This is money that does not have to be repaid as long you stay in your new home for at least 36 months.

Single tax filers who earn up to $125,000 are now eligible for the total credit amount. Those who earn more than this cap (but less than $145,000) can receive a partial credit. Joint filers who earn up to $225,000 are eligible for the total credit amount. Those who earn more than this cap (but less than $245,000) can receive a partial credit.

Repeat Buyers
The new homebuyer program offers an exciting new opportunity missing from the previous incentives - a tax credit of up to $6,500 for qualified purchasers who have owned and occupied a primary residence for a period of five consecutive years during the last eight years. This gives those who already own a qualifying residence some additional reasons to take advantage of lower home prices and interest rates and finally move up to the home of their dreams.
 
Important Deadlines
Purchase agreements must be signed by April 30, 2010, and closings must be final by June 30.

Get the Facts
There are other important rules and guidelines you must meet to qualify for this great opportunity. So, if you or someone you know has missed out on the first two home buyer tax credit programs in the last two years, don't wait. Give us a call today. We'll gladly review your situation and see if you can benefit from this new and improved program.

 

Posted by

Roy and Dolores Kelley Photographs

Roy Kelley and Associates

 

Roy Kelley, Associate Broker

Realty Group Referrals (Retired from RE/MAX Realty Group)

6 Montgomery Village Ave., Suite 200

Gaithersburg, MD 20879

Main Office:  301-258-7757 (You will not reach me at this number)

Send an email message if you need my phone numbers. I will be happy to recommend a real estate professional if you are moving to the area.

Comments (4)

Epcon Communities Epcon Columbia
Epcon Columbia, SC - Columbia, SC

I was just thinking about writing something about this myself.  I think this can't be out there too much.  The more we repeat it; the more people will see it.

Nov 29, 2009 06:16 AM
Roy Kelley
Realty Group Referrals - Gaithersburg, MD

Thanks for your comment. I agree. We need to frequently repeat this message. Many still do not understand the benefits.

Nov 29, 2009 06:20 AM
Roy Kelley
Realty Group Referrals - Gaithersburg, MD

Happy Thanksgiving!  Dolores and I had a very nice day with family and friends.

Enjoy the holiday weekend.

Nov 24, 2016 05:45 PM
Roy Kelley
Realty Group Referrals - Gaithersburg, MD

We have chilly weather in Maryland. Chef Dolores is attending a luncheon and playing cards with friends. 

Nov 08, 2017 07:15 AM

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