Buyer Tax Credits Extended

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The good news for those looking to buy a new home is Congress has extended the home buyer tax credit.  Even better news is now it is not restricted to just the first time home buyer.  This time they have expanded the program so that even more people will be able to take advantage of it.  Along with the extension of the $8,000 tax credit for the first-time home buyers, they have also added a $6,500. credit for existing home owners.  You can qualify for this credit as long as you have been living in your principal residence for 5 consecutive years out of the last 8. 

Also in an attempt to reach more people they have expanded the income limits to qualify for the program.  To be eligible under the new guidelines they have increased the income limits to $125,000 for single buyers and $225,000 for couples.

The program is capped on homes with a maximum purchase price of $800,000, you must be under contract by April 30, 2010 and close no later than July 1, 2010.

The law took effect as of the day it was signed and goes by closing date, so for those already under contract, but haven't closed yet you can now take advantage of the credits if you meet the new standards.   If you were worried you wouldn't make the Dec, 1 closing date of the old rules that is no longer a concern.  If you didn't qualify at all when you went under contract but do under the new rules then you can also now take advantage of the credit.

With inventory up in most areas, interest rates down, and now the extension and expansion of the Tax Credits if you've been considering purchasing a new home now is the time.  If you have any questions about the credits, or how you can take advantage of them contact me and we can discuss all your options.