Time is running out! The media is pushing hard to let everyone know that the deadline for closing on a home is November 30, 2009 if you plan on using the $8000 tax incentive. But you need to know there is a PROCESS!

CLOSING TAKES TIME

To be sure you allow for enough time for the closing process (think processing your loan & clearing title and abstracting). Right now we are writing offers for FHA approved buyers with a minimum of 45 days for closing.  If you closed November 30th, you would need to have your offer ACCEPTED by October 16, 2009. You also need to give your self a few days for negotiating your offer. So, by my count, you would need to write your offer by October 14th.  That’s only 41 days from now!

GET OUT THERE!

There is a good supply of first time homes available out there! Get out there, have fun, and enjoy!

Have more questions? There are definitely more answers. Feel free to connect with me via Facebook, Twitter, Text, Email, or by cell. I’m happy to help.

asalmon@firstrealtyhomes.com

Photo credit: josterpl

A tax credit of up to $8,000 is now available for first-time home buyers purchasing a home on or after January 1, 2009 and before December 1, 2009. Unlike the tax credit enacted in 2008, the new credit does not have to be repaid.

If you’ve been looking for details about the new $8000 tax credit,  here are the details:

 Sneak peek of what the Tax Credit looks like:

 ·   The tax credit is for first-time home buyers only.

 ·   The tax credit does not have to be repaid. (A true credit).

 ·   The tax credit is equal to 10 percent of the home’s purchase price up to a maximum of $8,000.

 ·   The credit is available for homes purchased on or after January 1, 2009 and before December 1, 2009.

 ·   Single taxpayers with incomes up to $75,000 and married couples with incomes up to $150,000 qualify for the full tax credit.

 ·   If you have not filed your taxes yet for 2008 and you close on a home before you do so, you may be able to see that credit sooner than you thought.

 ·   A first time home buyer is defined as someone who has not purchased a home in three years

 Have more questions? There are definitely more answers. Feel free to connect with me via Facebook, Twitter, Text, Email, or by cell. I’m happy to help.

 asalmon@firstrealtyhomes.com

First, it’s important to note that this is a PROPOSED tax credit. Many of us are following the new stimulus package carefully as we strain to learn the details about what this REALLY means for homebuyers.   Here’s what I’ve gotten so far (with some help from my friend Tyler Osby with Four Legacies Mortgage.)

Big takeaways from the bill:

1 ) It’s effective WHEN the bill passes. Not before.
2 ) If you bought a home last year on the $7,500 tax credit, you won’t qualify for this. Sorry, I know it sucks.
3 ) All home buyers qualify on the new bill.
4 ) There are NO income limitations.
5 ) The credit is 10% of the purchase price up to $15,000.
6 ) The credit will last for one year after the bill is signed into law.
7 ) You must occupy the home being purchased (no investors).
8 ) You must occupy the home for two years, or the tax credit is recaptured (ouch).

Again, it’s all speculation until a bill is passed. So, until things are final, things can change (and likely will). As a reminder, here’s the process of a bill becoming a law.

If you’re a home buyer that doesn’t own a home yet — the decision just got a lot easier.

Want to see the actual bill for yourself?  Here you go: http://isakson.senate.gov/Amdt_106.pdf

Photo credit: Steve Wampler

Have more questions? There are definitely more answers. Feel free to connect with me via Facebook, Twitter, Text, Email, or by cell. I’m happy to help.

asalmon@firstrealtyhomes.com