http://www.cnbc.com/id/33521976/for/cnbc
WASHINGTON – Senators agreed Wednesday to extend a popular tax credit for first-time homebuyers and to offer a reduced credit to some repeat buyers.
The tax credit provides up to $8,000 to first-time homebuyers but is set to expire at the end of November. The Commerce Department said Wednesday that new home sales fell 3.6 percent in September, and some industry representatives blamed uncertainty about the tax credit.
Senators agreed to extend the existing tax credit for first-time homebuyers while offering a reduced credit of up to $6,500 to repeat buyers who have owned their current homes for at least five years, said Regan Lachapelle, a spokeswoman for Senate Majority Leader Harry Reid, D-Nev.
The tax credits would be available to homebuyers who sign sales agreements by the end of April. They would have until the end of June to close on their new homes, according to a summary of the legislation being circulated among lawmakers.
First-Time Home Buyers…this is your last chance to secure the $8,000 Federal Tax Rebate, due to expire on November 30, 2009. Call us today to see if you qualify for the rebate, and we can begin your home search today! Click the link for qualifiying details!
http://www.federalhousingtaxcredit.com/2009/index.html
Downpayment/Closing Cost Loans for Buyers of Foreclosed Properties
Greater Minnesota Housing Funds will provide downpayment and closing cost assistance loans of $10,000 or $15,000 (depending on buyer’s income and availability of GMHF funds) to income qualified buyers purchasing foreclosed home in Greater Minnesota. Loans have 0% interest and no monthly payments are required! If the buyer remains in the home for 5 years, the entire loan amount is forgiven.
This program has two important goals: reducing the negative effects on foreclosures on comminutes and helping buyers become successful homeowners for the long term. To meet these goals, the program has the following requirements:
Maximum Income to Qualify for Assistance:
Family Size Greater Minnesota Chisago, Isanti, Sherburne, & Wright Counties Olmsted & Dodge Counties
1 $40,900 $47,100 $43,700
2 $46,800 $53,800 $49,900
3 $52,600 $60,500 $56,200
4 $58,400 $67,200 $62,300
5 $63,100 $72,600 $67,300
6 $67,800 $78,000 $72,300
7 $72,500 $83,400 $77,300
8 $77,100 $88,800 $82,300
9 $81,800 $94,100 $87,300
10 $86,500 $99,500 $92,300
How has the new Stimulus bill affected the tax credits for energy efficient home improvements?
On February 17, 2009, President Obama signed a stimulus bill (The American Recovery and Reinvestment Act of 2009) that made some significant changes to the energy efficiency tax credits. The highlights are:
- The tax credits that were previously effective for 2009, have been extended to 2010 as well.
- The tax credit has been raised from 10% to 30%.
- The tax credits that were specific dollar amount (ex $300 for CAC), have been converted to 30% of the cost.
- The maximum credit has been raised from $500 to $1500 for the two years (2009-2010). However, some improvements such as geothermal heat pumps, solar water heaters, and solar panels are not subject to the $1500 maximum.
- The $200 cap on windows have been removed.
For further information on the tax credit on home improvement please check out energy star’s website: http://www.energystar.gov/index.cfm?c=products.pr_tax_credits
*Note the above information was all taken from the www.energystar.gov website.
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