$5,000 First Time DC Homebuyer Tax Credit is Back!

The $5,000 First Time DC Homebuyer Tax Credit was signed into law when the President signed the "Emergency Economic Stabilization Act of 2008."

The tax credits are retroactive to Dec. 31, 2007 and will be good through Dec. 31, 2009. Individuals and families buying a home in the District for the first time are eligible even if they have owned elsewhere but not in the city. The $5,000 homebuyer incentive has been credited with stabilizing the District's population and encouraging renters to buy here instead of moving elsewhere in the region, and with shoring up the District's economy, which traditionally has been considered particularly unfriendly to small businesses. The tax credits expired last year and Congresswoman Eleanor Holmes Norton worked hard to get them renewed.