~The 2009 First Time Homebuyer Credit
~This is a true tax credit, not an interest free loan!
~The 2009 amends the original credit (the 2008 First Time Home buyer Credit) and eliminates the pay back (recapture) provision among others.
~The 2009 credit is increased to $8,000 (or $4,000 for married filing separately).
~The effective date runs from January 1, 2009 through November 30, 2009. (The old 2008 tax credit expired July 1, 2009). Closings early this year, before passage of this new credit, can still claim the credit. The homebuyer may even amend his tax return if necessary. Even though the closing was in 2009, the provision of the old law still applies, and the new credit may be taken on the 2008 return filed this year.
~The 2009 Credit is still Refundable and Recapture is Limited
~There is No Recapture after the first three years. The 2009 credit does not need to be paid back, unless the home is sold in the first three years. If there is a sale in the first three years, the recapture can be no more than the gain on the resale.
~This 2009 credit may be claimed even if the purchase was financed with state bond money.
~The same income limits apply: $150,000 for married filing jointly and $75,000 for single filers. The credit is completely phased out for incomes over $190,000 for joint filers and $95,000 for single filers.
~This tax credit is still "refundable." If your homebuyer pays only $4,000 in taxes, the full credit may be taken for the purchase of an $80,000 home. The tax credit will refund all taxes paid($4,000) and give an additional $4,000 back to boot!
IF YOU'RE LOOKING FOR A HOME NOW IS THE TIME TO BUY. SEARCH FOR FREE ON MY WEBSITE www.ISellCincinnati.com . FIND A HOME YOU LIKE, CALL OR EMAIL ME AND WE'LL SET UP A SHOWING THE SAME DAY.
GOOD LUCK!
Michael Vazquez, Realtor
513-325-1959
Comments(0)