First Time Homebuyer Tax Credit

Well with the new year upon us and the chaos of the holidays behind us it is time to focus on the many benefits 2010 has to offer us!  One of the very best reasons to buy a home in 2010 or at least before April is that you as a first time home buyer will receive $8,000 in free money in the form of a tax credit!  So, for example if you were to file your income taxes in April and you closed on your home in March 2010.  You would file the tax credit form and if you were originally supposed to receive $2,000 back you would now receive $10,000!!  There are specific requirements to qualify, here they are so if you are one of the lucky you should really consider buying your first home by April 2010!
-Must sign a contract to close on a home on or before April 30, 2010
-Must close on your new home on or before June 30, 2010.
-Must have income lower than $125,000 for singles $225,000 for Married this applies to sales after November 6,2009.  If you purchased prior to November 6, 2009 you must have income lower than $75,000 for singles $150,000 for Married.
-You must have not owned a home in the last 3 years or never have owned a home to qualify
- The tax credit is calculated 10% of the purchase price up to $8,000
-Some people may qualify for a partial tax credit if their income exceeds the income limits - contact your CPA for information regarding this.
- The home you purchase must be your principal residence