Now there's a new tax credit you may be eligible for. The bill passed in November 2009 creates new tax credits for many home owners, to try and get the cycle of buying and selling real estate moving again. That's because the construction and real estate industries have a big affect on the economy!
The new bill is called the Worker, Homeownership and Business Assistance Act of 2009. The new tax credit is worth of up to $6,500 for qualified move-up or repeat home buyers … which means existing home owners! If you purchase a principal residence after November 6, 2009 and on/before April 30, 2010 (or purchased by June 30, 2010 with a binding sales contract signed by April 30, 2010), you may be eligible for this tax credit.
Here are a few quick qualifications (details at the National Home Builders web site):
- Home owners who have lived in their homes for at least 5 consecutive years during the prior 8 years, can use this tax credit.
- Income limits range from $125,000 for single taxpayers up to $225,000 for married taxpayers.
- Purchase price for eligible homes up to $800,000 purchase price.
So if you're considering buying a home, start your research now and see how this tax credit might benefit you. You can claim the tax credit in 2009 even if you don't purchase the new house until 2010.