There is a silver lining to all of this Bailout Business (thank goodness!) and it applies all First Time Homebuyers! In the recent stimulus package, Congress, and President Obama wrote in a $8000 Tax Credit for First Time Homebuyer's who purchase a home between January 1, 2009 and December 1, 2009 (that's right, the actual law says DECEMBER ONE, so you need to close by November 30, 2009!)
The actual Credit is $8,000 or 10% of the purchase price, whichever is less. It is a CREDIT. This is much different than a Tax Deduction. If your total tax liability came to $6,000, but you had $7,000 withheld from your payroll, you would normally receive a $1,000 refund. With this credit, your refund would total $8,000!! Now that's a DEAL!
The definition of being a "first time home buyer" means that you have not owned a home in the past 3 years. You have to stay in the home for at least 3 years, or you have to pay this money back! This is an important difference from the $7500 credit offered by Congress last year. The $7500 credit had to be paid back over 15 years with no interest - the 2009 version, does not. It does state, however, that you must live in the property for 3 years.
Additionally, there are income restrictions: To qualify, buyers must make less than $75,000 for singles or $150,000 for couples. (Higher-income buyers may receive a partial credit.)
You can apply for this credit using ANY mortgage loan program! If you are a Veteran, use your 100% VA benefits! You can purchase using FHA, maybe you would like to purchase a foreclosed property and "fix it up" with a FHA 203K loan... or maybe you want to live in a more rural area of NC? Then get a USDA 100% home loan!
The point is this - The Government is G-I-V-I-N-G you $8000! Don't waste this once in a lifetime opportunity to buy a home at ALL TIME LOW PRICES, get a loan with REALLY LOW interest rates and a $8000 gift back from the Government! The alignment of all of this is like Halley's Comet! Wow!
UPDATE! There might be an extension of the program - see more here!
If you are considering a purchase in NC, please call Steve and Eleanor Thorne, in Cary, NC 919-649-5058