First Time Home Buyers Tax Credit Extended To April 30th, 2010

Just recently the U.S

Just recently the U.S. House of Representatives decided to pass a new bill that will grant an extension and expansion of the Federal Tax Credit for First-time Home Buyers. This extended tax credit will be good through April 30th, 2010 that now also includes a 60 day extension should there be a binding contract in place prior to the deadline.

The tax credit for first time home buyers will still stand at a tax credit of up to $8,000. Existing homeowners however, will receive a reduced credit of up to $6,500. In order to for existing homeowners to be eligible for the $6,500 tax credit, they have lived in their current residences for at least five years. Another change in the bill is an increasing of the qualifying income limits. Single tax filers income limits were once $75,000 and joint filers were once $150,000. The new qualifying income limits are $125,000 for single tax filers and $225,000 for joint filers. The purchase price of the home is capped at $800,000. These new changes are aimed to encourage existing home owners to sell their first homes in exchange for purchasing larger and more expensive homes, basically their dream homes.

Additional stipulations in the bill include the ability for taxpayers to claim the credit on purchases that are completed in 2010 on their 2009 income tax returns. The bill also maintains that the home buyers utilize the home as their primary residence for 36 months after its purchase; otherwise the credit must be repaid. However, for any active duty military personnel this requirement is waived should they need to move due to military order.

So far this tax credit has had great success. According to the California Association of Realtors, nearly 40 percent of first-time buyers said they would not have purchased a home if the federal tax credit for first-time home buyers was not offered. This underscores the significance of the federal tax credit to the housing markets recovery in California.

For more information on the extended First-time Home Buyer Tax Credit contact the experienced and knowledgeable agents at Realty Executives Dillon. The agents at Realty Executives Dillon can offer you an expertise that is unsurpassed in the San Diego County real estate field. There are hundreds of property listings all throughout San Diego County and seasoned real estate agents are exactly what you are going to need to navigate your way. So for the best San Diego real estate services you could hope to find, visit Realty Executives San Diego at www.realtyexecutivesdillon.com.

by: Ashley Ford

POST COMMENT

Cost Effective Serviced Offices In Hyderabad Your Company Name And Business Lines Of Credit How To Get Your 2nd Business Line Of Credit. Why Dubai Must Be Saved Government Grants For First Time Home Buyers Using Technology in Your Search for Real Estate Advantages Of Real Estate Investing Today Are You Ready To Get A Reiwired Education? Dummies Guide To Investing In Real Estate Need To Attend Seminars From Real Estate Investors Before Investing Getting Ahead Of The Pack With Reiwired.com Getting Rei Freedom Through Virtual Assistants Home Rehabbing Made Easy Through Reiwired