Some simple facts about the Homebuyer Tax Credit
- First-time homebuyers, or those who have not owned in the last three years, can receive up to an $8,000 tax credit
- Homeowners who have lived in a current home consecutively for 5 of the past 8 years can receive up to a $6,500 tax credit
- There may be no future extensions, so all qualified homebuyers are urged to act and have a written, binding contract by April 30, 2010 (close by June 30, 2010)
- Income limits are now $125,000 for singles, $225,000 for married couples with a $20,000 phase-out of the credit for both.
|
Feature |
For First-Time Homebuyers |
For Current Qualifying Homeowners |
|
Amount of Credit |
$8,000 ($4,000) married filing separate) |
$6,500 ($3,250 married filing separate) |
|
Eligibility |
May not have had an interest in a principal residence for 3 years prior to purchase |
Must have used the home sold or being sold as a principal residence consecutively for 5 of the previous 8 years |
|
Termination of Credit |
Purchases after April 30, 2010 |
Purchases after April 30, 2010 |
|
Binding Contract Rule |
So long as a written binding contract to purchase is in effect on April 30, 2010 the purchaser will have until June 30, 2010 to close |
So long as a written binding contract to purchase is in effect on April 30, 2010 the purchaser will have until June 30, 2010 to close |
|
Income Limits |
$125,000 - Single $225,000 - Married Additional $20,000 Phase Out |
$125,000 - Single $225,000 - Married Additional $20,000 Phase Out |
|
Limitation on Cost of Home Purchased |
$800,000 |
$800,000 |
|
Purchase Made by a Dependent |
Ineligible |
Ineligible |
|
Additional Requirements |
Purchaser must attach documentation of purchase to tax return |
Purchaser must attach documentation of purchase to tax return |
Take advantage of this great program and get back some of that tax money you already are paying!
Information provided is general in nature. Please consult your tax professional or accountant for further details.
