Mortgage Market News - Georgia Homebuyer Tax Credit

On Monday, May 11th, Gov. Sonny Perdue signed into law HB 261 a tax credit from the state.

Some highlights of HB261

- $1,800 or 1.2% of the purchase price spread over 3years(1/3 each year)
- For purchases between June 1 and November 30 2009
- Do not have to be a first time homebuyer

- For investment properties as well as owner occupied
- Only one credit per taxpayer

The tax credit is taken over a 3 year period and, unlike the federal tax credit, there is no income restriction. The income restriction for the federal tax credit begins at $75,000 for individuals or $150,000 for married couples and then phases out. The federal credit ends on November 30th as well.

With up to $8000 from the federal government and now $1800 more from Georgia, coupled with the lowest home prices and interest rates in a long time - um - this is just plain ridiculously good for buyers.