 For your reference, here are some good links to bookmark as reference points for the provisions of the tax credits not only for the first time home buyer, but also repeat home buyers. The bill was signed into law on November 6, 2009 and effective November 7, 2009, by President Obama, after both the Senate and Congress overwhelming voted in support of the bill.
Click on: Home buyer Tax Credit Changes
Congress extended and expanded the home buyer tax credit. Note that the modifications labeled December 1, 2009 - April 30 2010 are effective when President Obama signed the bill. All changes to the current credit are effective that date, as well.
What's new: Income limits to qualify for tax credit
Click on: Frequently Asked Questions
See also FHA site for FAQ on tax credits for move-up and repeat buyers Excerpt: Question: I am an existing homeower. On October 25, 2009, I signed a contract to buy a new home. I have lived in my current home for more than 5 consecutive years and am within the new income limits. am closing escrow on November 20. Will I qualify for the new $6500 tax credit? Answer: Yes. The existing homeowner credit goes into effect for purchases after the date of enactment (November 6 when the bill is signed). There is no reference to the date of contract for the new credit. The provision looks solely to the date of purchase, which is generally the date of settlement. The date of first occupancy must be AFTER November 6, 2009 and on or before April 30, 2010 (or by June 30, 2010, provided a binding sales contract was in force by April 30, 2010).
 Click on: How to Get the Extended Home Buyer Tax Credit
What do you need to do to take advantage of this tax credit?
- Have a binding contract by April 30, 201 and close escrow by July 1, 2010
- Decide if you want to apply the credit to your 2009 tax return filed on or before April 15, 2010, file an amended 2009 return, or apply the credit on your 2010 return filed on or before April 15, 2011.
Click on: What are the basics of the Extended Home Buyer Tax Credit
Find out who qualifies, how one qualifies, which properties are eligible, how much is available, how one claims the credit, if the credit needs to be repaid
To qualify as a "first time home buyer" the purchases or his/her spouse may not have owned a residence during the three years before buying the home. The maximum allowable tax credit is 10% of purchase price up to $8,000. |