Many First Time Home Buyers have begun to spring into action to take advantage of the $8,000 tax credit or 10% of the purchase price whichever is lesser. Home Buyers who qualify can not have owned a residence in the past 3yrs, this means that a buyer could not have been listed on a deed in the last 3yrs.
The tax credit has also been granted to current home owners. This tax credit is in the amount of $6500, or 10% of the purchase price whichever is lesser. Buyers in this case have had to own a residence consecutively for 5yrs in the last 8yrs. A home owner does not have to buy up to qualify, meaning they do not have to purchase a home more than their current home is worth.
Buyer's do have to be under contract to purchase a new home by April 30th, 2010 and the deal will have to be closed by June 30th. This tax credit is extended to June 30th, 2011 for anyone who has served in the Military for at least 90 days.
This a great time to buy, and with the tax season ending what better way to use your refund check than investing in a dream!
For More Information on Tax Benefits Visit www.IRS.gov