Jose A. Hernandez

In July of this year, Congress passed the Housing and Economic Recovery Act of 2008. Among the many provisions meants to stimulate the economy and the housing market is a $7500 tax credit for those who purchase a foreclosed home. If you purchased or are planning to purchase a foreclosed home between April 9, 2008, and June 30, 2009, then you may qualify for this tax credit.

There are income limits on this credit. The full credit will be given to individuals earning less than $75000 per year ($150000/year on a joint return). For those earning more than $75000 the credit is gradually decreased until reaching an income level of $95000 ($170000 on joint return) when the credit is phased out.

One great thing about this credit is that it is "refundable." Meaning it counts towards the amount that you are refunded. So if your tax liability if $5000 and you get the full $7500 tax credit, then you would receive a refund of $2500.

Of course there is a catch. The tax credit is really just an interest-free loan that must be repaid. However, you have 15 years over which to pay it back, paying 6.67% of the total amount each year until paid in full. That means if you qualify for the full $7500 credit, you would repay $502.50 each year. Still a nice way to get interest-free money that you have a long time to pay back.

In this day an age. Only Jesus will see us through. I am posting this to give back, there is someone today that is going through a very hard trial. I am writing to encourage that one person. I am here saying that although you may being going through a very difficult situation you are not alone, God is closer than ever, though you may not see the out come He already has. God will not always take you out of your trail, but He will always walk with you through it. Chritian be content in your trials, help someone today, and see how your problem are no longer that bad.