Federal Tax Credits for Consumer Energy Efficiency

What is included in the Federal Tax Credit?

How do I apply for the tax credit?

Top ten Frequently Asked Questions

Are Properties in Your Market Getting Multiple Offers and Snatched Up?

I watch the news like everyone else... and hear what they are saying about the housing market... but......... over and over again, good houses are getting snatched up in my market quickly. Yes, they are either decent properties with the right price, or ones that are just priced correctly. Either way, I am finding them to be competitive. It is good news for sellers here.

I don't mind showing a prospective buyer without a pre-approval properties at least once, but I am very hesitant to do it now, because if they really like the property, and their paper work is not lined up, and the property goes under contract then every other property thereafter will be a disappointment or a compromise. Thus, I am really encouraging people to get their finances straight, before they go out and look, so that when they see "the property", they can jump on it! It seems, there is no time to waste. And with the tax credit out there for a first time home buyers, it is a really good time to take the leap and buy.

To the other Realtors® out there, I am asking the questions and taking a poll.... Are properties in your market getting multiple offers and snatched up? The poll appears on the right side on the home page of the blog. The poll will be up for two days. Thanks!

First-Time Home Buyer Tax Credit

Here is what you need to know:

1. Who is eligible? First time home buyers with modified adjusted gross income of $75,000 or less to qualify for the full credit and $150,000 for married couples, who along with their spouse have not owned a principal residence in the past three years.
   
2. When does the purchase need to be made? The home must be purchased on or after January 1, 2009 and before December 1, 2009.
   
3. What is the definition of a "First Time Home Buyer"? Someone who hasn't owned a principal residence for three years before buying a house. Owning a vacation home would not count against you. However, if your spouse owned a principal residence in the past three years, you would not qualify.
   
4. What type of purchase is the tax credit good for? A Principal Residence.
   
5. How much is the tax credit? It is 10% of the purchase price, which is capped at $8,000.
   
6. Does it have to be repaid? This Tax credit does not have to be repaid unless you sell your house in the first three years.

If you can qualify based on the above answers, it is a terrific time to buy. If there is any question in your mind about your qualification, call your tax professional for advice.