Obama Signs Extended Tax Credit into Law
Qualifying contracts must be signed by April 30, 2010. The transaction must close by June 30, 2010.
Palm Coast, FL – November 6, 2009 – President Obama signed today a bipartisan bill that extends the first-time buyer tax credit to April 30, 2010. Transactions must close by June 30, 2010. The bill also adds a $6,500 tax credit to move-up homebuyers; those who have lived at least five consecutive years in the same home within the past eight years.
The present first-time buyer tax credit was set to expire on November 30, 2009.
We move’n on up to the East side
The move up buyers are now looking.Low interest rates, low home prices, especially on the $250,000 plus homes.
Question
Toby,
Regarding the "move up credit" when does the start date for that take place? I would assume that it starts at bill signing but I haven’t read anything to that point. Any chance of the folks who "moved up" last month or the month before will benefit from the credit? Is it good for all the move up buyers in the 2009 tax year?
Does anybody know for sure?
Answered my own question
This information came from http://www.federalhousingtaxcredit.com
The $6,500 Move-Up / Repeat Home Buyer Tax Credit at a Glance
* To be eligible to claim the tax credit, buyers must have owned and lived in their previous home for five consecutive years out of the last eight years.
* The tax credit does not have to be repaid.
* The tax credit is equal to 10 percent of the home’s purchase price up to a maximum of $6,500.
* The tax credit applies only to homes priced at $800,000 or less.
* The credit is available for homes purchased after November 6, 2009 and on or before April 30, 2010. However, in cases where a binding sales contract is signed by May 1, 2010, the home purchase qualifies provided it is completed prior to July 1, 2010.
* Single taxpayers with incomes up to $125,000 and married couples with incomes up to $225,000 qualify for the full tax credit.
Reply to John
I haven’t seen the final bill. When I do, I’ll post a summary.