Home Buyer Tax Credit Extension Becomes Reality

Last week, Congress overwhelmingly approved an extension and expansion of the home buyer tax credit, as urged by hundreds of thousands of Realtors® across the country. The President has signed the legislation.

Key points of the legislation include:

• Extension of the $8,000 tax credit for first-time home buyers under contract by April 30, 2010 and settling by July 1, 2010;
• Addition of a $6,500 tax credit for existing homeowners, if living in their principal residence for five consecutive years in the past eight years;
• Increasing income limits for eligible home buyers to $125,000 for single buyers and $225,000 for couples; and,
• Capping the purchase price of the home at $800,000.

source www.nvar.com