First Time Home Buyer Credit Extended and Revised

Congress passed an extension of the First-Time Homebuyer Credit. It is expected to be signed by President Obama this morning. The new bill has some more generous provisions than the original law. It increases the allowable adjusted gross income to $125,000 for single taxpayers and to $225,000 for those filing married filing jointly. Added to this bill is a $6,500 incentive for current homeowners who have lived in their current home for at least five years. For a side-by-side comparison of the current law and the new law, click on the National Association of Realtors logo below.

The $8,000 credit was due to expire at the end of this month but will now continue through June 30, 2010. Here in Greensboro, we have seen an increase in home sales for houses priced below $200,000. Perhaps with these new incentives for existing homebuyers who want to move into a bigger home, we will see home sales in this market increase, as well.