8 Facts About the $8,000 First-Time Home Buyer Tax Credit
The American Recovery and Reinvestment act of 2009 authorized a tax credit of up to $8,000 for qualified first-time home buyers purchasing a principal residence on or after January 1, 2009 and before December 1, 2009. Any home that will be used as your principal residence qualifies for the tax credit. The law defines a "first-time home buyer" as a buyer who has not owned a principal residence during the three-yaer period prior to the purchase. First-time home buyers purchasing any type of home, new or resale, are eligible to receive the tax credit as long as the closing date and title transfer occurs before December 1, 2009. The tax credit is equal to 10 percent of the home's purchase price up to a maximum of $8,000. The income limit for single taxpayers is $75,000 and $150,000 for a married taxpayers filling a joint return. The money comes in the form of a tax refund, meaning that you will not receive the money until after the house is bought and your 2009 tax return is ...