| Well, the market is all abuzz over the Housing and | | | | credit!) |
| Economic Recovery Act of 2008's new $7,500 | | | | What are the effective dates? |
| Federal Tax Credit for First Time Home Buyers. And | | | | You must purchase a home after April 9, 2008 and |
| well it should be! Right now, buyers should be out there | | | | before July 1, 2009. The home buyer must actually |
| buying! Rates are low, there is an excessive amount | | | | make settlement on the home during this time period. |
| of inventory to choose from, and with this new tax | | | | What types of homes qualify for the tax credit? |
| credit it is clear that the time to act is NOW! But | | | | Single family homes, townhomes, and condominiums all |
| everyone seems to have a different idea about what | | | | qualify, assuming that the home will be used as the |
| this credit is all about. I've written this article to highlight | | | | primary residence and the buyer hasn't owned a home |
| this new tax credit and shed some light on exactly | | | | in the prior three years. |
| what the benefits are to the First Time Home Buyer | | | | Do I have to pay back this credit? |
| who takes advantage of this credit. Below are the | | | | Yes, the credit is basically an interest free loan which |
| most common questions I am asked regarding the | | | | will be repaid over 15 years. If you receive the whole |
| new credit, along with an easy to understand answer. | | | | $7,500 credit, you will pay it back at $500 per year for |
| Who is eligible for this credit? | | | | 15 years. A nice feature, though, is that the buyer |
| The $7,500 credit is available to first time home buyers | | | | doesn't start repaying the credit until two years after |
| only (a first time home buyer is defined as a buyer | | | | the year in which they claimed the credit. |
| who has not owned a home during the past three | | | | What if I sell the home in less than 15 years, before the |
| years.) If you are a U.S. citizen, file taxes, and fit the | | | | credit is paid off? |
| definition of the first time home buyer, you are eligible | | | | The remaining balance would be due from the profit of |
| to participate! | | | | the sale of the home. If you don't earn enough profit on |
| Are there any income limitations? | | | | the sale, the balance of the credit payback would be |
| Yes. For a single individual (or head-of-household) the | | | | forgiven. |
| modified adjusted gross income (MAGI) must be less | | | | So what are you waiting for? Even when the market |
| than $75,000. For a married couples filing a joint income | | | | is down, home prices will still appreciate more than the |
| tax return, the income limit is $150,000. | | | | stock market! It's time to get out there and buy the |
| Single or head-of-household taxpayers making | | | | home of your dreams!! Contact your favorite local |
| between $75,000 and $95,000 are eligible for a partial | | | | Realtor and get out there now! |
| first-time home buyer tax credit. Married couples | | | | Nick Piscitelli is a licensed real estate broker in the |
| making between $150,000 and $170,000 are eligible for | | | | state of Pennsylvania and a respected real estate |
| a partial first time home buyer tax credit. | | | | investing mentor in Philadelphia and it's suburbs. He has |
| What if I pay less than $7,500 in income taxes? Do I | | | | bought and sold dozens of Philadelphia investment |
| lose some of my credit? | | | | properties and is a respected member of h |
| No! The tax credit is refundable, meaning that if you | | | | Now Pay Close Attention -- |
| pay less than $7,500 in taxes, the government will | | | | Do you have an Ugly house you want to sell? On the |
| write you a check for the difference! As an example, | | | | next page you will find someone who will put cash into |
| if you owed $6,000 in federal income taxes, you would | | | | your pocket for that broken down wreck of a house. |
| pay NOTHING and receive a check for $1,500 from | | | | ==> I Pay Cash For Broken Down Ugly Houses |
| the government. Another great example would be if | | | | Nationwide |
| you are due to receive a refund of $2,000 from the | | | | So if you own a broken down house you can sell it to |
| government. That refund would grow to $9,500 (the | | | | Payton Lowe for cash. I strongly sudgest you contact |
| $2,000 original refund amount PLUS the $7,500 tax | | | | Payton Lowe on the next page before it's too late. |