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Expanded and extended home buyers tax credit
» First
time home buyers as well as home owners who
have lived in their home
consecutively for five (5) out of the previous eight (8) years and
sign a purchase agreement between Nov. 30, 2009 and April 30, 2010, and close by July 1, 2010
may be eligible to receive a tax credit.
» The credit is extended through
June 30, 2011 for members of the military serving outside the United
States for at least 90 days.
» A purchaser must be at least 18
years old to receive the tax credit.
» The Home Buyer Tax Credit may be
applied to primary residences only up to a maximum of $800,000.
» To qualify as a "first-time home buyer" the
purchaser or his/her spouse may not have owned a residence
during
the three (3) years prior to the purchase.
» The maximum allowable credit for
first-time home buyers is $8,000 and $6,500 for existing homeowners.
The credit is equal to 10% of the
purchase price of the home, up to $8,000 or $6,500, depending on
status.
» Single buyers with incomes up to $125,000 and
married couples with incomes up to $225,000 may receive the maximum
tax credit.
» The buyer does not need to
repay the tax credit, if he/she occupies the home for three (3)
years or more. However, if the property is sold during the
three-year period, the credit will be recouped on the sale.
For further
information and eligibility you can check the
IRS Guidelines or
IRS Basic Information Questions and Answers
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