Extended and expanded home buyer credit (2009, first time home buyer, buying)

[shellytc]

Just an FYI, the house and the senate have both passed legislation to extend and expand the home buying credit.

Starts Dec. 1, and must be under contract by April 30 and close by June 30.

Expanded to include buyers that have owned a home Isold or being sold) for the 5 consecutive years in the last 8 years, credit is $6500.

Expanded income limits to $125,000.

and extends the credit for our military personell that are out of the country!!

You can read more here:

House Passes Homebuyer Tax Credit Extension

Shelly

[Erma]

I saw that...good news.

[chesapeakesim]

To me it sounds like an incredible waste of money. If I own a home and choose to buy another, I need to put mine on the market. So it takes one house off the market and puts another on the market. How does that help the economy? It just makes already overpriced houses even more overpriced. I guess it does help realtors. But seriously, do they really need help? Shelly, don't you own like a $500K vacation home in VA Beach, or was that another realtor on this board? Most realtors I know live in $500K+ houses and drive luxury cars. Maybe now you can move up to a $1 million vacation home .

[Erma]

could care less who owns what, but for first time buyers it is a big incentive.


The $8,000 tax incentive for first-time homebuyers, which had an expiration date of November 30, will be extended through April 30 of next year.
The tax break has been expanded to include a new category of buyers – those who have lived in their current home for at least five years, but want to purchase a new home as their primary residence. The credit amount for these buyers will begin on December 1 and is $6,500.
The April 30 deadline is the date by which buyers must have signed a purchase contract, eliminating the mad frenzy to eek closing out by the sunset date. Another 60-day window beyond the end of April is allowed to complete the closing of the deal.
The credit is available for the purchase of primary residence homes costing $800,000 or less – in other words, no tax break for vacation homes or investment properties.

[jhrichmond]

The incentive for current homeowners begins November 6, 2009, NOT December 1, 2009 as originally reported by the National Association of REALTORS

[shellytc]

No I do not own a $500k vacation home. In fact I do not own any vacation home : ) that is another realtor on this board. Don't be a hater though : ) Most agents make less than $50k a year. MOST. so we aren't rolling in the dough.

The incentive has helped folks that are fence sitters. If you are on the fence, this may just help you make the decision to go ahead and buy now versus waiting a year or two. It has been very successful for first time home buyers and will continue to benefit them. Now it is expanded to include move ups to allow them to sell to first timers and take up some of the glut in the middle of the pack.

Shelly