Home Buyer Tax Credit Extended and Expanded
Great news came out of congress this week as the Home Buyer Tax Credit was not only extended until July 1st, 2010, but expanded to include current home owners as well.
First time home buyers can still qualify for an $8000 Tax Credit if they have a binding contract by April 30th, 2010 and close by July 1st, 2010.
The big change is that Sellers may now get in on the Tax Credit as well. Current home owners can qualify for a $6500 Tax Credit if the home being sold was their principal residence for 5 of the past 8 years.
Income limits were increased as well to allow more people to qualify for the Tax Credit. Also, in order to prevent fraud, congress added a provision that states the purchaser claiming the Tax Credit must also attach documentation to their tax return proving their purchase.