First time homebuyers tax credit
Josh Sutherland on Dec 1, 2009 Hello everybody, and welcome to New Home Week. This week we're going to take a look at some of the costs associated with moving into a new place that sometimes get overlooked.
I thought I'd introduce New Home Week by talking about the recently-extended "first time homebuyers" tax credit. You may have heard that you can get an $8,000 tax credit by buying a new home before the end of November. Well, that bill was recently extended all the way to April 30th, 2010.
Also, it's important to know that it's not always an $8,000 credit. It's actually 10% of the price of the home that is credited, with $8,000 being the maximum credit allowed. Other folks who have lived in the same place for 5 years or more can also get a different tax credit by moving into a new home before April 30th.
Basically what this boils down to is, if you buy a new home and owe $10,000 in taxes, $8,000 of it will be taken off the bill. If you only owe $3,000 in taxes, the government will actually mail you a check for the remaining $5,000. If you've seriously considered moving any time in the last year, this may the best opportunity you will ever get! Get started looking for homes and you just may beat the deadline. =) For any questions you may have about the first time homebuyers tax credit, just click right here.
-Josh "Happy House Hunting" Sutherland
