$8,000 First Time Homebuyer Tax Credit
What is it?
• A tax credit that equals 10% of the value of the home - up to $8,000.
• If you do not owe $8,000 in taxes, you receive the balance in cash - a stimulus check that's mailed directly to you.
• If you sell your house within three years, you may need to repay a portion of the tax credit on a prorated scale.
• You have not owned a home as your primary residence for the past three years.
• Your income does not exceed $125,000 (filing individually) or $225,000 (married filing jointly). If your income is more, you may still qualify on a sliding scale.
• You must have a signed purchase agreement in place by 04/30/10 (must close by 06/30/10).
• The home you buy must be your primary residence.
• You must be 18-years of age or older. You cannot be a dependent of the seller.
• The home may not sell for more than $800,000 to qualify.
• If you resell the home within three years, there may a credit repayment penalty.
*General information shared as a courtesy. Individual tax ramifications are beyond my area of expertise. Please check with your tax &/or financial advisor to discuss all details & tax benefits of home ownership and they may apply to you.
Info (& edited graphic) courtesy of RE Magazine.