McMullen Real Estate Agency, Inc.

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McMullen Real Estate Agency, Inc.

First Time HomeBuyer Tax Credit

 

What is the credit?  $8000 or 10% of the purchase price of the house, whichever is less.

Who’s eligible?  Any homebuyer who hasn’t owned a home in the last 3 years.

What types of homes are eligible?  Any home you call your primary residence. This could be a  single-family home, a multi-family home, a mobile home, a condo, even a houseboat!

How do I qualify? Place a home to be purchased under contract no later than April 30, 2010 and close on that home no later than July 1, 2010.  Income limits are $125,000 for a single taxpayer or a married taxpayer filing separately, or $225,000 for a married couple filing together.  A smaller credit is available for those making up to $145,000 for a single and $245,000 for a couple.  Homes to be purchased must be less than $800,000. 

How/when do I get the money?  When you file your 2010 taxes next spring, fill out IRS Form 5405.  This will determine your credit, which will be added to your Form 1040.

How does this differ from the previous HomeBuyer credits?  The income limits are increased, the time frame is extended and two deadlines must be met. The purchase price limit has also been added. This version also adds a tax credit for current homeowners who purchase a new home. See below for information on that provision. 

I want to take advantage of this program, what do I do now?  Call or email McMullen Real Estate Agency. We’ll guide you through the entire process, step by step, from finding the right loan to finding the right house to closing and beyond.

 

Repeat HomeBuyer Tax Credit

 

What is the credit?  $6500 or 10% of the purchase price of the house, whichever is less.

Who’s eligible?  Any homebuyer who has owned their current home, and lived in it as their primary residence, for at least 5 of the last 8 years.

What types of homes are eligible?  Any home you call your primary residence. This could be a  single-family home, a multi-family home, a mobile home, a condo, even a houseboat!

How do I qualify? Same as for the 1st time homebuyer tax credit.  Place a home to be purchased under contract no later than April 30, 2010 and close on that home no later than July 1, 2010.  Income limits are $125,000 for a single taxpayer or a married taxpayer filing separately, or $225,000 for a married couple filing together.  A smaller credit is available for those making up to $145,000 for a single and $245,000 for a couple.  Homes to be purchased must be less than $800,000. 

How/when do I get the money?  When you file your 2010 taxes next spring, fill out IRS Form 5405.  This will determine your credit, which will be added to your Form 1040.

How does this differ from the previous HomeBuyer credits?  The previous credits did not have a provision for current homeowners who purchased a new home. 

I want to take advantage of this program, what do I do now?  Call or email McMullen Real Estate Agency. We’ll guide you through the entire process, step by step, from finding the right loan to finding the right house to closing and beyond.