Back to School back to House Hunting

There does seem to be a connection between...Back to School and back to serious House Hunting. While August traditionally seems to be a slower time in the market place because may people are taking the last minute vacations and getting the kids ready for school. It seems like right after labor day, the market place gets more active. So if you've held off putting your house on the market.... September is a very good time to get out there and be seen. Buyers are typically more active.

First-time Homebuyer Tax Credit

The following are some helpful information surrounding - The Housing and Economic Recovery Act of
2008
Amount of Credit
Ten percent of cost of home, not to exceed
$7500
Eligible Property
Any single-family residence (including
condos, co-ops) that will be used as a
principal residence.
Refundable
Yes. Reduces income tax liability for the
year of purchase. Claimed on tax return for
that tax year.
Income Limit
Yes. Full amount of credit available for
individuals with adjusted gross income of no
more than $75,000 ($150,000 on a joint
return). Phases out above those caps
($95,000 and $170,000, respectively).
First-time Homebuyer Only
Yes. Purchaser (and purchaser’s spouse)
may not have owned a principal residence
in 3 years previous to purchase.
Recapture
Yes. Portion (6.67 % of credit) to be repaid
each year for 15 years. If home sold before
15 years, then remainder of credit
recaptured on sale.
Effective Date
Purchases on or after April 9, 2008
HOUSING AND ECONOMIC RECOVERY ACT OF 2008
First-time Homebuyer Tax Credit
Termination July 1, 2009
Interaction with Alternative
Minimum Tax
Can be used against AMT, so credit will not
throw individual into AMT.