Amy's Orlando Real Estate Blog

TAX CREDIT OVERVIEW


Who Gets What?

First-Time Homebuyers (FTHBs): First-time homebuyers (that is, people who
have not owned a home within the last three years) may be eligible for the
tax credit. The credit for FTHBs is 10% of the purchase price of the home,
with a maximum available credit of $8,000.
Single taxpayers and married couples filing a joint return may qualify for
the full tax credit amount.

Current Owners: The tax credit program now gives those who already own a
residence some additional reasons to move to a new home. This incentive
comes in the form of a tax credit of up to $6,500 for qualified purchasers
who have owned and occupied a primary residence for a period of five
consecutive years during the last eight years.
Single taxpayers and married couples filing a joint return may qualify for
the full tax credit amount.

What are the New Deadlines?
In order to qualify for the credit, all contracts need to be in effect no
later than April 30, 2010 and close no later than June 30, 2010.

Who is Eligible fort FTHB Tax Credit?
Anyone who has not owned a primary residence in the previous 36 months,
prior to closing and the transfer of title, is eligible.
This applies both to single taxpayers and married couples. In the case where
there is a married couple, if either spouse has owned a primary residence in
the last 36 months, neither would qualify. In the case where an individual
has owned property that has not been a primary residence, such as a second
home or investment property, that individual would be eligible.
As mentioned above, the tax credit has been expanded so that existing
homeowners who have owned and occupied a primary residence for a period of five consecutive years during the last eight years are now eligible for a
tax credit of up to $6,500.

How Much are Current Home Owners Eligible to Receive?
The tax credit program includes a tax credit of up to $6,500 for qualified
purchasers who have owned and occupied a primary residence for a period of
five consecutive years during the last eight years.

Please call Amy Hodges at 407-252-7049 if you have additional questions, or for information on any home for sale.