First Time Homebuyers

DON’T MISS OUT ON THE FIRST-TIME
HOME BUYER TAX CREDIT!

EXTENDED AND EXPANDED!

The first time homebuyer credit has been extended to home purchases that are entered into agreement (contract to buy) before May 1, 2010 and closed before July 1, 2010.

MOVE UP BUYERS!

In addition, the new law allows for a tax credit for home buyers that already own homes. A new credit of 10 percent of the purchase price, up to $6500.00, is available to buyers who have lived in their present home  5 consecutive years of the past 8 years. This credit is intended to spur “move up” buyers.

Breaking news: Tax Credit Can Be Used on Closing Costs.

Who Qualifies?
First-time home buyers..

To qualify as a “first-time home buyer” the purchaser or his/her spouse may not have owned a residence during the three years prior to the purchase.

Which Properties Are Eligible?
The  First-Time Home Buyer Tax Credit may be applied to primary residences, including: single-family homes, condos, townhomes, and co-ops.

How Much Will the Credit Be?
The maximum allowable credit for home buyers is $8,000. Each home buyer’s tax credit is determined by two factors:

The price of the home—the credit is equal to 10% of the purchase price of the home, up to $8,000.

The buyer’s income—single buyers with incomes up to $75,000 and married couples with incomes up to $150,000—may receive the maximum tax credit.

If the Buyer(s)’ Income Exceeds These Limits, Can He/She Still Get a Credit?
Yes, some buyers may still be eligible for the credit.

The credit decreases for buyers who earn between $75,000 and $95,000 for single buyers and between $150,000 and $170,000 for home buyers filing jointly. The amount of the tax credit decreases as his/her income approaches the maximum limit. Home buyers earning more than the maximum qualifying income—over $95,000 for singles and over $170,000 for couples are not eligible for the credit.

Will the Tax Credit Need to Be Repaid?

No. The buyer does not need to repay the tax credit, if he/she occupies the home for three years or more. However, if the property is sold during the three-year period, the credit will be recouped on the sale.

It’s never been a better to for a first time home buyer to purchase a home!
Prices are down, rates are low, and a government tax credit!

CALL 828-279-6700 OR EMAIL ME AT GWENCROFT@KW.COM