First time home buyers tax credit

First Time Home Buyer Tax Credit Information:

What is the deadline?
Buyers must have a binding written contract by April 30th and the closing must happen by July 1st.

How much is the credit?
The maximum credit is $8000 for first time buyers. The maximum for repeat buyers , "long-time residents" is $6500.

What types of properties qualify?
Primary residences qualify, including single-family homes, condos, town-homes, and co-ops.

How do buyers actually get the credit?
The credit can be applied to your 2009 tax return, an amended 2009 return filed later or your 2010 tax return.

Who can qualify for the tax credit?
To qualify for the "first-time home buyer" credit you must not have owned a home during the 3 years prior to the purchase. To qualify for the "repeat buyer" credit you must have used the home being vacated or sold as your principal residence for 5 consecutive years, out of the last 8.

What are the income limits?
The full credit will be available to those who's modified adjusted gross income is $125000 or less, or $250000 or less for joint filers. A reduced credit is available for those with incomes between $125000-$145000 or $225000-$245000 for joint filers. If you make more than that, you are not eligible.

I hope this helps. If you have any questions or need further explanation please feel free to call or email me.

Phillip Baird
Austin Real Estate Shop
phillipdbaird@gmail.com
512-289-5738