FirstTimeHomeBuyer-TaxCredit.info

First time home buyers can now take  advantage of an $8,000 tax credit, and current home owners looking to purchase a new primary residence may qualify for up to $6,500 from the federal government,  per the U.S. Department of the Treasury.

Previously a $7,500 credit was available to those who qualified in the form of a loan that had to be paid back over a span of 15 years. The new credit which is part of the American Recovery and Reinvestment Act of 2009  is a true "gift" from the government that does not have to be paid back. To qualify for the credit, a buyer  must use the home as their primary residence for at least 3 years, and purchases must be made prior to April 30, 2010 according to the Internal Revenue. Certain income restrictions also apply.
 
Buyers can claim up to 10% of the purchase price or $8,000 for single persons, and $4,000 for married individuals filing separately according to the Internal Revenue Service.

          Click below to watch a short video and learn more about the Tax Credit



To claim the credit, the IRS has posted Form 5405 on IRS.gov. Click here to access the site.

For more information on the American Recovery and Reinvestment Act of 2009 Click Here

The U.S. Department of Housing and Urban Development  announced that it will temporarily increase loan limits for Federal Housing Administration backed mortgages. This is in accordance with provisions in the stimulus act. The new FHA limits now go up to $729,750 in high cost areas.

"The expansion of the first-time home buyer tax break as part of the president's recovery agenda gives money to taxpayers when they need it most, while also targeting an important group of buyers," said Treasury Secretary Tim Geithner.

Before making any decisions you should always consult with your tax adviser or the Internal Revenue Service.

Now that you have made the decision to purchase a home, the first thing to do is consult with a lender and get pre qualified to see just how much home you can afford. The pre qualification process is not a guarantee or an approval of a loan. This is where a lender takes a look at your debts versus your income, reviews your credit with your approval, and lets you know how much  your budget allows for in regards to a home purchase. If you need assistance with the process, I can help.

By going to my website www.dt4realty.com you can access Capstone Home Mortgage, which is Prudential Tropical Realty's affiliate of Wells Fargo Bank. On the left side of the page just click on the Prequalify / Mortgage button and you will be taken to a Capstone Home Mortgage consultants website. From there just follow the easy step by step instructions under apply now. Remember there's no obligation to get pre qualified. Once completed, a mortgage consultant will contact you and will have the information you need to begin the home buying process. The next step s to locate an area of interest and a home that fits your needs. Together we can find that right property and get you on your way to the American dream of home ownership.


Whether you're looking for new construction, an inventory home, or that perfect resale, I am here to help. At any time if you have a question please feel free to contact me. I look forward to working with you and assisting you in finding a house you would be proud to call home.