$8,000 Home Buyer Tax Credit

Who is eligible to claim the tax credit? First-time home buyers purchasing any kind of home - new or resale - are eligible for the tax credit.  To qualify for the tax credit, a home purchase must occur on or after January 1, 2009 and before December 1, 2009. 

What is the definition of a first-time home buyer?  The law defines "first-time home buyer" as a buyer who has not owned a principal residence during the three-year period prior to the purchase. 

What type of homes will qualify for the tax credit?  Any home that will be used as a principal residence will qualify for the credit.  This includes single-family detached homes, attached homes like townhouses or condominiums, manufactured homes (also known as mobile homes) and houseboats.

How is this home buyer tax credit different from the tax credit that Congress enacted in July 2008?  The most significant difference is that this tax credit does not have to be repaid.  Because it had to be repaid, the previous "credit" was essentially an interest-free loan.  This tax incentive is a true tax credit.  However, home buyers must use the residence as a principal residence for at least three years or face recapture of the tax credit amount.

For more information on this subject, you can visit www.federalhousingtaxcredit.com.

Let's get together and talk about your home buying and/or selling plans. Call Cindy at (334) 333-8605 or Erica at (334) 798-0494 and we'll setup a time that is easy and convenient for you to meet.

P.S. If you're not ready to meet in person, please tour through our website. We're sure you'll find the resources here useful and helpful. Enjoy!