As A REALTOR I am not qualified
to give Tax or Financial Advice.
SoI have found this free video
that explains the
First Time Home Buyers Tax Credit
in a way that is
simple and easy to understand
by a Qualified Professional, Enjoy.
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The November 30, 2009 Deadline
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Your Home Search By Clicking Here
The tax credit is for first-time home buyers only. For the tax credit program, the IRS defines a first-time home buyer as someone who has not owned a principal residence during the three-year period prior to the purchase.
For example if you have not owned a home in the past three years but your spouse has owned a principal residence, neither you nor your spouse qualifies for the first-time home buyer tax credit. However, unmarried joint purchasers may allocate the credit amount to any buyer who qualifies as a first-time buyer, such as may occur if a parent jointly purchases a home with a son or daughter. Ownership of a vacation home or rental property not used as a principal residence does not disqualify a buyer as a first-time home buyer.
The tax credit is equal to 10 percent of the home’s purchase price up to a maximum of $8,000. This is a tax credit not a tax deduction, which is better. So if ou qualify for the entire amout, instead of getting a percentage of the $8000 based on your tax bracket you are credited the full amount.
The credit is available for homes purchased on or after January 1, 2009 and before December 1, 2009. You must SETTLE ON OR BEFORE November 30, 2009.
The income limit for single taxpayers is $75,000; the limit is $150,000 for married taxpayers filing a joint return. The tax credit amount is reduced for buyers with a modified adjusted gross income (MAGI) of more than $75,000 for single taxpayers and $150,000 for married taxpayers filing a joint return. The phaseout range for the tax credit program is equal to $20,000. That is, the tax credit amount is reduced to zero for taxpayers with MAGI of more than $95,000 (single) or $170,000 (married) and is reduced proportionally for taxpayers with MAGIs between these amounts.
Any home that will be used as a principal residence will qualify for the credit. This includes single-family detached homes, attached homes like townhouses and condominiums, manufactured homes (also known as mobile homes) and houseboats.
Hope this helps you at least know if you should seek more information, begin your home search today by clicking on the link in at the top right, happy home hunting.
