The Home Buyer tax credit has ended for new home buyers as of April 30 2010. Unless you are in the Military and served overseas the $8,000 credit is off the table for you. We feel even though you missed the deadline this is better time to buy your next home. The Savings today will far out weigh the $8,000 tax credit. The interest rates have decreased from 5.25% to 4.50 % on a 30 year mortgage. That is a monthly savings of $91.04 for each payment. The interest savings over the life of the loan is $32,771.80. We have seen more sellers aggressively reducing the price of their homes, in some cases over $30,000. The Real estate market is moving at a slower pace than before April 30th. The time for buying in NOW!! The savings are incredible. These conditions are not going to stay this way forever. You need to act today. Call us and we can sit down and to review what is best for you and your family
Posts Tagged ‘Military Homebuyer Tax Credit Extension’
Missed the Tax Credit? Now is a Better Time to Buy!
Tuesday, July 20th, 2010Home Buyer Tax Credit Extended for Military
Tuesday, May 18th, 2010Good news for members of the armed forces, foreign services and intelligence community! Congress has provided for an extension of the Home Buyer Tax Credit for active members of the military, foreign service and the intelligence community who meet the following exceptions that apply to the $6500 tax credit for repeat home buyers and the $8000 tax credit for first-time home buyers. The extension guidelines for the Tax Credit and the Exemption guidelines for the Recapture Rules are as follows:
Exemption From Tax Credit Recapture Rules
- Typically, homes that are sold or that cease to be used as a principal residence within three years of the initial purchase are subject to the recapture of the tax credit
- However, qualified service members who sell or move from a tax credit home within three years of the initial purchase due to official extended duty are exempt from the recapture rule.
Extension of Tax Credit Deadlines
- The home buyer tax credit is available for qualified purchases with a binding sales contract in place on or before April 30, 2010 and closed by June 30, 2010
- However, for qualified service members who are ordered on a period of official extended duty outside of the United States, these dates are extended for one year. For these home buyers, the tax credit applies to sales with a binding sales contract in place on or before April 30,2011 and closed by June 30, 2011
- A person who is forced to return to the U. S. for medical reasons before completing an assignment of at least 90 days of qualified official extended duty outside of the United States during the period beginning after December 31, 2008 and ending before May 1, 2010 may qualify for the one-year extension