How does the new 2009-2010 Tax Credit for Homebuyers work?
President Barack Obama signed the homebuyer tax credit into law today, extending the popular $8,000 credit for first-time homebuyers.
The credit, which was to expire at the end of this month, will be available through next June as long as the buyer signs a binding contract by the end of April.
•The program is expanded to include a $6,500 credit for existing homeowners who buy a new place after living in their current residence for at least five years.
Click on the link below for the new guidelines on this credit:
Homebuyers Tax Credit ...<< MORE >>
Congress giving homebuyers a big new tax break
Extracted on 11/05/09 on yahoo.com
WASHINGTON – Missed out on Cash for Clunkers? Congress has another deal for you: Buy a home before May 1 and collect up to $6,500 from the government. If you're a first-time homebuyer, get up to $8,000.
As part of the government's efforts to encourage people to spend money to help revive the economy, the House voted 403-12 Thursday to expand a popular tax credit for homebuyers. The bill, which also extends unemployment benefits and expands a tax break ...<< MORE >>
Homebuyer Tax Credit Plan Agreed to by U.S. Senate Democrats
Extracted from Bloomberg.com:
Oct. 30 (Bloomberg) — The U.S. Senate won’t vote until next week at the earliest on proposals to extend both an $8,000 tax credit for first-time homebuyers and unemployment benefits for the nation’s jobless. The administration endorses an extension.
Senate action was delayed by a Republican demand that a vote be allowed on an amendment to end the Treasury Department’s Troubled Asset Relief Program at the end of this year.
Senate Majority Leader Harry Reid, a Nevada Democrat, balked yesterday at the demand by Senate Minority Leader Mitch McConnell, a Kentucky Republican. ...<< MORE >>
What is the Mortgage Protection Program
Through the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) Housing Affordability Fund Mortgage Protection Program, first-time home buyers who lose their jobs due to layoffs may be eligible to receive up to $1,500 per month, for up to six months, to help make their mortgage payments.
A qualified co-buyer also can participate in the program and receive a monthly benefit of $750 per month for up to six months.
C.A.R.’s Housing Affordability Fund is dedicating $1 million ...<< MORE >>
First-time home buyer tax credit
New tax credit provides opportunity for first time homebuyers
There's good news for first time home-buyers. In an effort to stimulate the economy and help the housing market, the federal goverment had enacted new legislation providing a tax credit of up to $8000 for first time homebuyers.
Click on the link below for more details.
First-time homebuyer tax credit ...<< MORE >>
10 Mistakes First-Time Home Buyers Make
For any questions you may have when buying your home in Orange County, always make sure to visit www.ochomebuyer.com for a Free MLS access to the OC Real Estate database.
Enjoy!
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Deal of the Day by Lisa Scherzer
The declining home values
that are plaguing homeowners are just one of the factors creating an opportunity for prospective home buyers.Standard & Poor's latest Case-Shiller index, which tracks home prices across 20 major U.S. cities, reported that ...<< MORE >>
How Much Mortgage Can You Afford?
How Much Mortgage Can You Afford?
As usual, whatever questions you may have, just let us know.
Teresa Mihelic
www.ochomebuyer.com ...<< MORE >>
Cracking a Valuable Homebuyer Credit
There was a really good article on the Wall Street Journal on March 18th, about how the new tax credits work for 'First Time Home Buyers'.
For the whole story, here's the link:
http://online.wsj.com/article/SB123732757823462281.html
And here's a recap of what this tax credit is all about:
MAKING SENSE OF THE STORY FOR CONSUMERS
· First-time home buyers – those who have not owned a principal residence for three or more years – received two tax credits over the last two years.<< MORE >>
Spring Market update for OC Real Estate Market
Hello again! Spring is here! So what’s happening to the OC Real Estate Market?
We’ve seen lots of new information from President Obama’s Stimulus Plan. The effect this has had is a brief slow-down of what had been an increasingly active spring market here in Orange County as the markets try to figure out whether any of these programs might be helpful to housing.
Truth is, if you’re thinking of buying, or ...<< MORE >>
First-Time Home Buyer Tax Credit: How It Works
The first-time homebuyer tax credit passed last fall, and many of our clients were wondering how it works. Here is an explanation provided by the National Association of Realtors:
The definition of first-time homebuyer is generous. To get the credit, the homebuyer cannot have owned a home in the previous three years. The home must be a principal residence and purchased between April 9, 2008 and July 1, 2009.
The credit is equal to 10 percent of the purchase price, up to $7,500. Single taxpayers with modified adjusted gross income up to $75,000 and couples with MAGI up to $150,000 will qualify for full credit. Singles with MAGI up to $95,000 and couples with MAGI up to $170,000 will get a reduced amount. Those with higher incomes don’t qualify.
If the amount of tax a homebuyer owes is less than the amount of the credit, they get to keep the difference in the form of an IRS refund.
The homebuyer must begin to repay the credit in two years in increments of about $500 a year over a 15-year period for those who received the full credit
Homebuyers who sell their home before the credit is repaid must pay off the loan with any profits. If they sell the home at a loss, the loan is forgiven.
If you are a first-time homebuyer interested in taking advantage of this tax credit, visit our website, www.OCHomebuyer.com or give us a call. We will be happy to guide you through the process of buying your dream home!
