$8,000 TAX CREDIT UPDATE Tentative Deal? April 30, 2010 & close by June 30, 2010

According to news reports this morning, Senate negotiators reached a tentative deal on extending and slightly expanding the $8,000 first-time home buyer tax credit.

Here's the tax credit new deal Senate negotiators apparently reached:

• The current $8,000 first time home buyer tax credit would be extended for contracts that are finalized by April 30, 2010 and close by June 30, 2010. This is supposed to help Realtors and mortgage lenders get through the supposed "slow" Winter selling season. In reality, while traffic is down, the housing sales numbers in the winter aren't all that different from summer and fall. But by allowing the tax credit to continue until June 30, you're also allowing those who buy next Spring to take advantage of the tax credit - and we'll have to read the fine print to know what the Senators mean by the "finalizing" date. learn more.
• A new $6,500 tax credit will be available to some existing homeowners who lived in a home for a "consecutive" 5 years out of the past 8 years. This part of the tax credit seems to be designed to help out those who have had to move out of their long-time primary residence to take a job elsewhere and rented out the property because they couldn't sell it.
• The income limits will be raised, so both tax credits will be available to those individuals earning up to $125,000, or up to $225,000 for married couples. The current tax credit limits first-time borrowers to an income of $75,000 for individuals and $150,000 for married couples, and phases out above those levels.

by Ilyce Glink, CBSMoneyWatch.com 10/29/09

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Burbank Realtor (HABLO ESPANOL), Short Sale Realtor & Real Estate Negotiator

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Lupe is a short sale Realtor and pre-foreclosure specialist Call Lupe Soto, Realtor to list and sell your home or condo in Burbank Real Estate , CA, San Fernando Valley Real Estate , Palmdale, Rancho Vista, Anaverde & Greater Antelope Valley Real Estate