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First Time Homebuyer gets $8,000 Tax Credit, Jacksonville FL

Real Estate Sales Representative with Vanguard GMAC Real Estate

A new tax credit of up to $8,000 for first-time homebuyers has been approved with the economic stimulus package.  This is really awesome and first time homebuyers means you haven't owned a home in the last 3 years.  The credit for 10 percent of the value of a home, up to $8,000, so the home has to be atleast $80,000 to get the full $8,000.  The home has to be purchased by December 1, 2009 and you will file your credit when you do your taxes in 2010.  If you do not owe anything to the IRS, you will get a $8,000 tax return check, if you owe $2,000, you will get a check for $6,000. Also, you do not have to pay the credit back as long as you stay in the home atleast 3 years.  Income limitations do apply.

You always need things when you buy a home, whether its a resale, you want to replace carpet and paint or if you buy new construction, you might need blinds, fans, fence, etc.  This tax credit comes in handy.  Granted since you don't get the money right away, you could always use a low interest credit card on the items above and pay it off when you get your taxes back.