If you’re looking to take advantage of the home buyers tax credits, time is short. Last November, Congress extended and expanded the home buyers tax credit portion of the economic stimulus through April 30, 2010. That leaves just about 2 1/2 months left to purchase a home. Unlike the prior deadline where the transaction had to closed by the expiration date, this time it only needs to be under contract by the April 30th deadline with closing occurring no later than June 30, 2010.
To recap, there are two tax credits available – an $8,000 tax credit for first-time home buyers and a $6,500 tax credit for repeat buyers for homes priced up to $800,000. Income caps are $125,000 for single buyers and $225,000 for married couples.
Members of the military, foreign service and the intelligence community who served outside the U.S. for at least 90 days between December 31, 2008 and May 1, 2010 have a one year extension. The deadline to purchase a home is April 30, 2011 with closing no later than June 30, 2011. Additionally, members may be exempt from the 3-year recapture rule if they need to sell or move from the residence as a result of an official extended duty.
To learn more about the tax credit or to start your home search, please contact our condo specialists.