Home Buying Tax Credits to End April 30, 2010; Still Time to Take Advantage

First-time home buyers can secure a federal income tax credit of up to $8,000 and existing homeowners can claim a tax credit of up to $6,500 if they enter into a binding sales contract to purchase a home by April 30, 2010, and complete the closing by June 30, 2010. The National Association of Exclusive Buyer Agents (NAEBA) says there is still time to claim this substantial incentive money, but advises prospective buyers to act quickly. NAEBA agents throughout the United States are well schooled in all of the details of the program and can assist both first-time homebuyers and move-up/repeat buyers not only get the best deal on a new home, but secure a valuable tax credit in the process. NAEBA notes that the program is a tax credit, not a tax deduction, so the credit can be claimed dollar-for-dollar against what homebuyers owe on the federal taxes for the qualifying year. Moreover, NAEBA notes that members of the U.S. military, Foreign Service and employees in the intelligence community who are ordered on a period of official extended duty overseas may extend the effective dates of home purchases and closings for an additional year. There are income limitations on who qualifies — $125,000 for an individual and $225,000 for a married couple filing joint returns – but it effectively covers more than 95% of the US population, NAEBA said. Also, the tax credit only applies to homes costing a maximum of $800,000, but once again that covers all but a fraction of American neighborhoods. For more information on the tax credit program and to discover the benefits of buying a home with an Exclusive Buyer Agent, find a NAEBA agent by clicking here.