Still Time to Get Stimulated!

As many people are aware, the homebuyer’s tax credit was extended into this year just before the original program ran out last November. While it was extending the program, Congress made more people eligible by increasing the income levels and allowing some who are not first-time buyers to qualify. In general, here are the new rules:

Program Life:

• A valid contract must be signed by April 30, 2010.
• The transaction must close by June 30, 2010.

Income limits:

• For a single taxpayer is $125,000.
• For a married couple is $225,000.

First-Time Buyers:

• Anyone who has not owned a home for three years prior to closing.
• The credit is 10% of the purchase price up to a maximum of $8,000.

Move-Up/Repeat Buyers:

• Those who have owned a home for 5 consecutive years within the last 8 years.
• Program life and income limits remain the same
• The credit is 10% of the purchase price up to a maximum of $6,500.

As with any one-size-fits-all program, there are lots of small details that you should check with your lender or accountant. But, the bottom line is that a substantial credit is available if you qualify and have a contract prior to 4/30/10 and close before 6/30/10. Contact Me for more information.