Tax Credits for home buyers started last year and it worked. According to The National Association of Realtors News Release, an estimated $22 billion has already been added to the general economy resulting from the bill and approximately 2 million people will utilize the tax credit in 2009.
But what housing and the national economy needed was incentive for move-up buyers. The number of first-time home buyers rose to 47 percent of all home sales from 41 percent of transactions. It was also the highest on record dating back to 1981,the previous high was 44 percent in 1991. This is according to The 2009 National Association of Realtors® Profile of Home Buyers and Sellers,
You are lucky if you are planning to buy a new home this year. Whether you are a first time homebuyer or a homeowner who wish to “move on” after 5 years of living in their current property you are eligible for the 2010 Homebuyer Tax Credits.
- If you are a first time homebuyer, or someone who has not owned in the last three years, you can receive up to $8,000 tax credit.
- If you are a homeowner who has lived in your current home for 5-8 years, you can receive up to $6,500 tax credit when you purchase a new home.
- In come limits for Singles is $125,000 and $225,000 for married couples with a $20,000 phase-out of the credit for both.
- The cost of home to be purchased is up to $800,000.
To be eligible for the tax credits all qualified homebuyers are urged to act and have a written, binding contract by April 30, 2010 and it must be closed by June 30, 2010.
