REVISED FIRST TIME HOMEBUYERS TAX CREDIT FACT SHEET

February 2009

Below are the revised facts for the First Time Homebuyer Tax Credit-Effective for Purchases on or After January 1, 2009 and before          December 1, 2009   

 

   

Amount of Credit:

     The maximum credit about is $8000 

Eligible Property:

     Any single family residence (including condos, Co-ops, townhouses) that will be used as a

     principal residence.

 Refundable:

     Yes. Reduces ( or can eliminate) income tax liability for the year of purchase. Any unused

     amount of tax credit is refunded to purchaser.

 Income Limit:

      Full amount of credit is available for individuals with adjusted gross income of no more than

     $75,000 ($150,000 on a joint return).

 First-Time Homebuyers only?

     Yes. Purchaser and purchaser's spouse may not have owned a principal residence in 3 years

     previous to purchase.

 Revenue Bond Financing:

     Purchasers who utilize revenue bond financing can use credit.

 Repayment:

     NO repayment for purchases on or after January 1, 2009 and before December 1, 2009.

 Recapture:

     If home is sold within three years of purchase, the entire amount of credit is recaptured on sale.

     This applies only to homes purchased in 2009.

 When will this end?

     December 1, 2009

 Effective Date:

     All revisions to the are effective as of January 1, 2009.

 

 

Information about first time home buyer tax credits as amended by the American Recovery and Reinvestment Act of 2009 (HR 1).

Please consult your tax advisor / accountant to determine whether you are eligible for this tax credit before making any decisions or changes to your tax status. This  information only and should be verified by a tax professional.

                                                                      

Buying a home is an exciting and complex adventure. It can also be a very time-consuming and costly one if you're not familiar with all aspects of the process, and don't have all the best information and resources at hand.

One of our specialties is representing the best interests of Fairfax County, Loudoun County and Prince William County of Northern Virginia area buyers throughout the home buying process. Our comprehensive, high-quality services can save you time and money, as well as make the experience more enjoyable and less stressful.

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The following articles provide useful information and are a great place to start if you're considering buying a home.

How to choose a Neighborhood for Your Home Search Why use a Realtor When Buying a Home?
How to Choose a Home Home Inspections Avert Future Headaches
Take Charge When Buying a Home The Basics of Making an Offer