We have all been hearing about the $8,000 tax credit that is part of the American Recovery and Reinvestment Act.  Here is a great chart that shows the earlier tax credit that passed in July 2008 and the new tax credit which passed in February 2009.  (Source:  REALTOR.org)

Here are the key highlights:

  1. Maximum credit amount was increased to $8,000.
  2. Qualified properties are single family residences used as primary residence.
  3. Income limits, $75,000 individual and $150,000 joint return.
  4. First time home buyer or anyone who hasn’t owned a home in the last 3 years.
  5. For purchases between 1/1/2009 and 12/1/2009 no repayment is required.
  6. If home is sold within 3 years entire amount is paid back at time of sale.

If you have questions about how you can make this tax credit work for you, please feel free to contact me.