8000 tax credit for home buyers

April 20, 2009 · Print This Article

Frequently Asked Questions About the $8,000 Home Buyer Tax Credit

Update 9/10/2009 – Time is running out! You must be CLOSED on a home no later than Nov 30, 2009 to qualify for the credit!

Update 11/6/09: The tax credit has been extended until April 30 2010, please read more about the new program here:  1st time homebuyer tax credit extension.

The American Recovery and Reinvestment Act of 2009 authorizes a tax credit of up to $8,000 for qualified first-time home buyers purchasing a principal residence on or after January 1, 2009 and before December 1, 2009.

The following questions and answers provide basic information about the tax credit. If you have more specific questions, we strongly encourage you to consult a qualified tax advisor or legal professional about your unique situation.

Who is eligible to claim the tax credit?
 
First-time home buyers purchasing any kind of home—new or resale—are eligible for the tax credit. To qualify for the tax credit, a home purchase must occur on or after January 1, 2009 and before December 1, 2009. For the purposes of the tax credit, the purchase date is the date when closing occurs and the title to the property transfers to the home owner.
 
 
What is the definition of a first-time home buyer?
The law defines “first-time home buyer” as a buyer who has not owned a principal residence during the three-year period prior to the purchase. For married taxpayers, the law tests the home ownership history of both the home buyer and his/her spouse.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. 

Read the entire frequently asked questions at http://www.federalhousingtaxcredit.com/2009/faq.php

Comments

8 Responses to “8000 tax credit for home buyers”

  1. Senate approves $15,000 tax credit for all home buyers | Amendment 353 - 30 year fixed financing at a rate of about 4% | Putnam-Westchester-Homes.com on April 21st, 2009 6:29 am

    […] To read more about the $8,000 tax credit, check out: http://putnam-westchester-homes.com/8000-tax-credit-for-home-buyers […]

  2. Tomicka Monroe on May 9th, 2009 2:53 am

    If I get the 8,000 tax credit, do I have to pay it back?

  3. Mike on May 9th, 2009 5:09 am

    Hi Tomicka, no the tax credit does not need to be paid back.

  4. Sonia on August 28th, 2009 12:32 pm

    Are income limits different (higher) for Westchester residents as they are for the state’s Mortgage Credit Certificate program?

  5. FRANK BRUMAGHIN on September 9th, 2009 3:59 am

    ARE COOPS INCLUDED ? ALSO IF YOU PAY CASH ARE YOU STILL ELIGIBLE FOR THE 8000 TAX BREAK?

  6. Mike on September 10th, 2009 5:15 am

    Yes and yes, as long as you are a 1st time home buyer or have not owned something in the past 3 yrs. Just remember you need to be closed on a home no later than Nov 30, 2009 to qualify!

  7. Rosa Gonzalez-Ingles on October 7th, 2009 5:07 pm

    Is there really a 15,000 tax credit for all home buyers? (Amendment 353) I heard it did not go thru. Same goes for the 4% fixed financing rate?

  8. $8,000 first-time homebuyer tax credit extension | 1st time home buyer tax credit | Putnam-Westchester-Homes.com on November 6th, 2009 12:39 pm

    […] 6, 2009 · Print This Article The following is an extentsion of the first time home buyers $8000 tax credit By STEPHEN OHLEMACHER, Associated Press Writer Stephen Ohlemacher, Associated Press Writer – Thu […]

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