Buyers must act fast to get First-Time-Home-Buyer Tax Credit

Thinking of buying a home? Act fast and you may save big! The government is offering an $8,000 credit for first-time home buyers. The money comes right off of your tax bill and need never be repaid, unlike some previous home-buying incentives. The home must be your primary residence and you must take possession by November 30, 2009. That means that you’d better start shopping! It takes at least 30 days to close a loan and with the expected rush, it could be even longer.

Even if you’ve owned a home before, you may be a virgin again in the eyes of the federal government. If you don’t own the home where you’ve spent the past 3 years, you’re considered a first-time home buyer and are eligible for the $8000 tax credit. What’s more, if you’re getting a loan from the Federal Housing Administration (FHA), you can even use the $8,000 toward your down payment or closing costs. An FHA loan is a home loan that is guaranteed by the US government and it only requires 3.5% down payment. That means that to buy a house for $100,000, you’ll only need $3,500!

The tax credit is 100% for single people making less than $75,000 or married people making less than $150,000 total gross annual income. The credit is adjusted for those making between $75,000 and $95,000 or between $150,000 and $170,000 for married couples and disappears entirely above $95,000/$170,000.

Here’s a great link with some FAQ’s on the tax credit: www.federalhousingtaxcredit.com/2009/faq.php#2

At Phoenix Realty, we have all the tools to help you locate and purchase your first home. Contact us now or give us a call at 617.731.3311, because now time really is money!

Monday, September 14th, 2009 Boston, Boston First-Time Home Buyers, Boston Homes, Boston Homes for Sale, Buying or Selling Homes, Real Estate News, Tax Credit

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