First time home buyers

$8,000 Tax Credit Ending Soon

October 17, 2009 by Jeff Thomas

Now is the time to get into gear if you want to take advantage of the $8,000 first time home buyer credit. Fairfax and the surrounding county’s have more affordable homes than in recent memory. We have what most of us will most likely remember later in life as the perfect real estate storm for buying a real estate. not selling real estate, but buying it.  Low interest rates (1950-1960 style interest rates) and low home prices. The home affordability index is has home prices down 15% since last year and interest rates in the high 4% to the low 5% range.

Critical Tax Credit Information:

• Deadline: November 30th. 2009
• Primary residence only
• The credit is 10% of the home sales price, capped at a max of $8,000

Income Information:

• Individual Filers with a adjusted incomes of up to $75,000
  (then the credit declines as income increases to $95k)
  
• Joint Filers with a adjusted incomes of up to $150,000
  (then the credit declines as income increases to $170k)

A first-time home buyer is defined as someone who has not owned a primary home in the last 3 years. So if you have a rental home that you have not lived in in the pasted three years as your primary residence, then you might qualify for the credit.Thanksgiving is November 26th and most court houses will close early the day before, closed day of and the day after Thanksgiving.New laws have been enacted that have slowed down the lending process. Recent HVCC appraisal requirements and new lending disclosure laws restrict how fast an appraisal can be ordered. Plus there are some new restrictions on borrower notification when the APR changes outside of certain tolerances.

If you or someone you know is thinking about buying, then they need to contact me to get pre-approved. Buyers in today’s competitive market need to know how much home they can qualify for first before venturing into the home buying process.

Here is a link to the IRS form needed to get the credit. IRS Form 5405.

Please contact me if you need further information on the credit, need mortgage information or a referral to a top real estate agent.

Check out my contact page.