Posts Tagged ‘first-time homebuyer tax credit’
A Few More Tips for First-Time Homebuyers
For last week’s column, I wrote about the first-time homebuyer credit and provided some tips for people interested in taking advantage of the “free money,” as we wrote on our cover.
Well now, the Wall Street Journal-–bunch of copy cats!—has a similar story on their website. I think we covered most of the same bases: the new income limitations; deadlines to be mindful of; communicating with your lender.
But the WSJ has some fresh material. Anyway, here are their added tips:
- Be mindful of interest rates
Interest rates are low right now, but will likely rise next year, Ms. Warren says. Higher rates will affect your monthly mortgage payments, thus the affordability of the house you are buying.
Second Chance for First-Time Buyers, Part 2
More tips for homebuyers interested in using the government’s $8,000 tax credit, continued from this earlier post.
• It’s not just for first-timers anymore. The tax credit needs a new name to do it justice. The National Association of Realtors is calling the newly passed version the “Extended Home Buyer Tax Credit 2009/2010.” But neither the media nor the IRS has figured out a replacement for the old terminology. Whatever they settle on, the credit now applies not just to first-time homebuyers but to a narrow group of existing homeowners who’ve lived in their current houses for five consecutive years (within the last eight). If you fall into this category and are looking for a replacement principal residence, a credit of up to $6,500 is available (up to $3,250 for a married individual filing separately).
How Many People Have Used the Homebuyer Credit in D.C.?
1,329.
In D.C., roughly one out of every 445 people filed for the credit. In the entire state of Maryland, 23,679 have filed for the credit, roughly one out of every 237 residents. In Virginia, 40,527 have filed for the credit, roughly one out of every 191 locals. (I calculated these numbers comparing the original figures with population estimates from the Census Bureau’s 2008 survey.)
The tax credit information comes from Jim Dupree, a spokesperson with the Internal Revenue Service. (I’ve blogged about the homebuyer credit frequently in the last few weeks as the newest version of the popular credit was making its way through Congress.)
So 1,329—not terribly impressive?
I wouldn’t say that.
Read More “How Many People Have Used the Homebuyer Credit in D.C.?” »
Top Blog Posts of the Past Week
Okay, in truth, the following list should read Real World, Real World, Affordable Condos, Real World, Real World, First-time Homebuyer Tax Credit, Real World, Real World, Real World, Real World. It’s an unstoppable force! as I predicted.
But in the name of variety and, well, a “housing complex,” I’ll leave most of the Real World posts to be discovered by Googlers and those that click on the top link. All the bios I wrote about the various roommates are collected there.
(1) Here They Are D.C., Your Seven (Eight, Actually) Strangers!
(2) D.C.’s Designated Affordable Condos Are Great—Just Don’t Move Any Time Soon
President Renews First-Time Homebuyer Credit
Today, President Barack Obama signed a $24 billion stimulus bill that included renewing the first-time homebuyer tax credit (as the A.P. reports).
The National Association of Realtors has posted a Q&A about the credit, which is altered significantly in this bill, on its website. Their responses should answer all the basic questions:
Who Qualifies for the Extended Credit?
- First-time home buyers who purchase homes between November 6, 2009 and April 30, 2010.
- Current home owners purchasing a home between November 6, 2009 and April 30, 2010, who have used the home being sold or vacated as a principal residence for five consecutive years within the last eight.
To qualify as a “first-time home buyer” the purchaser or his/her spouse may not have owned a residence during the three years prior to the purchase. If you or your client purchased a home between January 1, 2009 and the date the bill is signed by President Obama, please see: 2009 First-Time Home Buyer Tax Credit.
Congress May Pass New Homebuyer Tax Credit This Week
Two sources—the New York Times and Reuters—are reporting that Congress will likely be renewing the first-time homebuyer tax credit in the next few days. “After weeks of partisan bickering, the Senate voted 97 to 1 to clear a procedural hurdle and move to final passage on Wednesday or Thursday. The House of Representatives is expected to approve it quickly and send it to President Barack Obama to sign into law,” according to Reuters.
The original credit was set to expire on Nov. 30. Last week, we learned that the new version of the credit will extend to some current homeowners looking for their next purchase, and that it would apply to all contracts entered by the end of April, and closing before July 1 (via Wall Street Journal).
Homebuyer Tax Credit Will Extend Through July
People are dying for more information on Congress’s first-time homebuyer tax credit, which will likely be renewed soon.
The proof is in the page-views: This brief little item I recently posted on the credit is the most popular post in the last month. Google delivered thousands of readers to my little online doorstep. The second place winner–”Florida Avenue Grilling,” an article I worked on for weeks—drew half the viewers. Sigh. So it goes.
You people want first-time homebuyer tax credit news, here you go! On Tuesday, Connecticut Senator Chris Dodd announced that his renewal plan had enough backing in the Senate to pass. But he refused to disclose details about the new agreement, according to Reuters.
First-Time Homebuyer Credit Will Be Extended…But How?
For months, the real estate industry has eagerly awaited news on whether the first-time homebuyer tax credit (for up to $8,000) would be extended past its original deadline of Nov. 30.
Yesterday, they sort of got an answer.
Read More “First-Time Homebuyer Credit Will Be Extended…But How?” »
White House Considers Extending $8,000 HomebuyerTax Credit
This past weekend, the Washington Post did an excellent job envisioning a nightmare scenario: Searching, finding, going under contract and closing on a house by November 30.
Why the rush? The $8,000 first-time homebuyer tax credit is scheduled to expire by then. Read More “White House Considers Extending $8,000 HomebuyerTax Credit” »
