The house and senate have passed a bill that will extend the $8,000 tax credit for those who haven’t owned a home in the last three years, and allow those who have owned their homes five years or more a $6,500 credit for a new purchase. Remember folks, this is a tax credit – not a deduction, not a write-off, but a credit, which means if your tax refund was going to be $500, it will now be $8,500 in the case of someone purchasing their first home, or $7,000 for someone who has owned five years and purchases another residence.
This is a tremendous opportunity for those in the market for a new home. The combination of low real estate prices and low interest rates gives you the most house for your dollar, and the tax credit is just free money. You can use it to pay off debt, spruce up your new home, take a vacation to Europe…however you chose to use it, it gives you an immediate return on your investment in your new home.
Opportunities like this don’t come around often, and this one will end April 30, 2010. If you might be in the market for a new home, call me for a free, no obligation analysis of your home buying power.
