Buying

First Time Homebuyer Tax Credit

Time is running out

First time homebuyers can claim a tax credit worth $8,000 as part of the Economic Stimulus
Package. The credit is effective as of January 1, 2009 and will expire December 1, 2009.
You must close and move into your new home by midnight, November 30, 2009.


First Time Homebuyer Tax Credit Information


Amount of Credit
Ten percent of the value of home or $8,000, whichever is less.

Refundable
No “repayment” required, unless home is sold within the first three years.

Eligible Property
Any owner occupied, single-family residence (including condos, co-ops) that will be used as a principal residence.

Definition of First Time Homebuyer
A buyer who has not owned a principal residence during the three-year period prior to the purchase. For married
taxpayers, the law tests the homeownership history of both the home buyer and his/her spouse

Income Limit
Full credit is available for individuals with modified adjusted gross of no more than $75,000 ($150,000 on a joint return). Partial credit is available for certain modified adjusted gross incomes.

Termination
December 1, 2009