Homeowner Tax Credit

Combine the tax credit with current low interest rates, a huge selection of inventory for sale, and reasonable home prices, and you have a good market in which to buy. NOW!

Buyers have until July 2009 to make a qualified purchase

The tax credit can be taken in a single tax year. Authorization ends July 1, 2009, so if you wait to buy in the first half of 2009 you can take the credit on 2009 tax returns. Taxpayers can take the credit on their 2008 returns if they bought this year (2008) after April 9.

If you exceed the income limit, you can still benefit from the credit.

The credit amount is set as percentage of the home purchase amount at 10%, so you can get 10% of the home price credited against your tax liability up to a maximum $7,500. If you make more money than the income limit of $75K (for individuals) and $150K (for households)

GREAT NEWS! Individuals whose income exceeds the limit of $75K but don't make more than $95K can still take the credit but on a reduced basis. The same thing applies to households earning up to $170K. By the way, any house is eligible as long as it's used as a primary residence and is in the USA.

Payback

The federal government requires the tax credit to be paid back in small, 6.67% increments over 15 years, but repayment is to be no more than $500 annually and payments will not start until 2011.

No pre-authorization needed to purchase

There is no pre-purchase application or approval process. Eligible buyers just have to claim the credit on their IRS Form 1040 tax return.

New-home construction qualifies.

For a home that a buyer constructs, the purchase date is the first date the buyer occupies the home. But a home that is not a primary residence, i.e., a vacation home or income property, does not qualify.

Call me any time, Keri (702) 563-5792