$8,0000 Federal tax Credit to first time home buyers
If this doesn’t get people off the fence then I just don’t know what will. I believe perhaps it takes time for folks to absorb the actuality of it. If it seems too good to be true…? Well, this is not… one of those times. This is one of those times when if you don’t take advantage of the window of opportunity YOU ARE GOING TO MISS THE BOAT. The American Recovery and Reinvestment Act of 2009 authorizes:
•· Anyone who has NOT owned a principal residence in the past three-years.
•· Not a vacation home, but primary residence. New or resale.
•· Title must close before December 01, 2009.
How is this home buyer tax credit different from the tax credit that Congress enacted in July of 2008?
The most significant difference is that this tax credit does not have to be repaid. For more information go to the link below. #8 on Federal Q & A site.
It is that simple.
What to consider:
If you’re adjusted gross income is more than $75,000 or up to $150,000 (filing jointly), then your $8,000 tax credit will be reduced accordingly. Secondly, the tax credit is for $8,000, or 10% of the sales price. That means if you buy a house worth less than &80,000, you’ll get 10% of the price.
Time Period:
January 01, 2009 to November 30th, 2009. Your loan on that purchase must close during that time period. We are at the middle of July 2009 which means because escrows are now taking up to 75 days, it would be best if you got into escrow by August 01, 2009 in my humble opinion. Depending on several factors. If you are buying all cash it will be a faster transaction. But with current appraisal issues causing time delays on lenders part, I suggest you start ASAP. You must allow for the unknown in a real estate transaction. Especially if you are buying a REO or Short Sale. If you are involved in a short sale ask your Realtor about the time lines, where is the process at? You must have approval on price from the lender, a contract signed by the selling side to know you can make that dead line.
You can NOT:
•· Not – Use the money toward you down payment.
•· Not – use the money for your closing costs.
When will you received your credit:
File an amended tax return – to receive $8,000 — right away. You do not have to wait until next year.
This program is available anywhere you live in the US.
Why? The administration did this because history repeats its self and it worked in the past. So here we are again, and so far it is working. Remember your home is the biggest investment of your life for most folks. They opportunities only come around once in a great while. We really don’t want to be in this situation again anytime soon. So seize the opportunity today.
Link to most ask questions: http://www.federalhousingtaxcredit.com/2009/faq.php#1
Disclaimer: nformation here is deemed correct buy not guaranteed
Renee Baccaro Realtor®
Tags: $8000 federal tax credit to first time home buyers, california, fullerton, la habra, la habra heights, la mirada, whittier
