Friday, February 27, 2009

New First-Time Buyer Tax Credit

The American Recovery and Reinvestment Act that was recently signed into law could be the key to achieving the American dream of homeownership for many first-time buyers. The stimulus plan includes a new and improved version of a first-time buyer tax credit originally passed last summer.
The 2009 first-time buyer tax credit includes these enhancements, and applies to any buyer who has not owned a home in the three years prior to their 2009 purchase:
  • The maximum tax credit amount was increased to $8,000 from $7,500.
  • Buyers are no longer required to repay the credit.
  • The time during which first-time buyers can benefit from the credit was extended by five months. It now applies to purchases of principal residences made on or after Jan. 1, 2009, and before Dec. 1, 2009.
The passing of this legislation is very positive news for anyone looking to buy or sell a home. Specifically, first-time buyers can now take advantage of the improved tax credit in addition to today's historically low interest rates and a large supply of homes to choose from.
Weichert has a resource for first-time homebuyers on its Web site that includes the most up-to-date information on the new tax credit. Click here or visit today to learn how this new legislation can help you achieve the American dream of homeownership.

Smitha Ramchandani is a licensed real estate professional at Weichert Realtors' Morristown West, New Jersey office. She is a Certified Buyer Specialist, and a Home Marketing Expert.. You can reach Smitha at: 973-953-7777 Mobile or 973-455-1900 Extension 122 (Office) or online at: or or or