2009 $8,000 Tax Credit for First Time Homebuyers

President Obama approved an economic stimulus package that includes a home buyer tax credit of up to $8,000 with the following provisions:

Home must be a principal residence
Applies to homes closed between Jan. 1 and Nov. 30, 2009
Credit doesn’t have to be repaid unless the home ceases to be the buyer’s principal residence within three years
You can file for the tax credit as soon as you close! So you can get a credit as quickly as the IRS processes it
Applies to all homebuyers who are US citizens and have not owned a home during the past 3 years – not just first time homebuyers
Credit is based on the homebuyer’s modified adjusted gross income (MAGI). For individuals, the full tax credit is available for MAGI below $75,000. For a married couple filing jointly, the full tax credit is available for MAGI below $150,000
The tax credit is applied against the home buyers tax bill or refunded in cash if the credit exceeds the homebuyer’s tax liability

Please consult your tax advisor to determine if you qualify for the tax credit.