It looks like first time homebuyers will indeed have more time to take advantage of the $8,000 tax credit, which was scheduled to expire on Nov. 30, 2009, according to the New York Times.
Legislation to extend the popular program until April 30, 2010, recently cleared a big hurdle in the U.S. Senate, receiving unanimous support among lawmakers (85-0). The initiative could land on President Obama’s desk for final approval at the end of this week or early next if it passes its next stop in the House of Representatives.
In addition to first timers, the new measure would reward existing homeowners — those who have lived at their current addresses for at least five years — with $6,500 tax credits for buying new homes.
And last but not least, the new legislation will raise the income limits for eligibility ($125,000 a year for individuals and $225,000 for couples), ensuring that more people can take advantage of the incentive.
Stay tuned for additional updates on this developing situation. For more background on the $8,000 tax credit for first time homebuyers click here.
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November 4, 2009 at 10:31 pm
FreeFreedom
It was about time to do something to help consumers against foreclosures..this are great news!
November 5, 2009 at 9:06 pm
Nathan
This makes me wonder how bad the real estate market would be today without all of these tax credits for buying a home.
November 19, 2009 at 10:13 pm
Chandler AZ CPA
Each and every day more and more folks are losing their homes. This tax credit was needed. Without the support that it provides, who knows where the market would be.
December 28, 2009 at 8:01 pm
Mike
I purchased my home back in July and I ammended my tax return in july also. I have yet to receive my $8,000 tax credit… I called the I.R.S. and they told me that it takes 12-16 weeks for the check to be sent. The only problem is that it has been 20 weeks and what I was told by an IRS employee is that around the 16th week “they” took up my case for review or investigating. Why didn’t they do that on week 2, 5 or 8. Why wait until the last freaken week. And what the #$%^ does review mean anyway. Why don’t they call or contact me to let me know what, why and when I should be expecting the money. I know they can just print it if needed to.
If they doen’t believe I purchased a house they could just come and visit me. I will make some coffee and we can chat about this years unsatisfactory play of my favorite football team… This is Bullshit! How are they helping the economy by hoarding the dollars. President OBAMA Do you know how they are screwing your initiatives in plain sight… By screwing the middle class again and again and again…. This has got to stop!!!
December 6, 2010 at 2:41 am
neileaque
You should also avoid the temptation of borrowing more than you can realistically afford. As property prices have rocketed, some lenders now allow you to borrow up to five times your salary. This is not recommended – by borrowing so much, you run the risk of financially over committing yourself and defaulting at some point in the future. Moreover, there is also the chance that you will find yourself with negative equity i.e. where the mortgage is actually greater than the value of your property.