If you are buying a house you can buy it at a great price as prices are lower than they were a couple of years ago in most parts. You can also get a great mortgage rate. Unfortuantely they do not have any other incentive if you are not a first time buyer.

Although the First-Time Buyer Tax Credit is only for first-time buyers, you may be able to take advantage of the Home Improvement Tax Credit. This credit is 30% of the cost of improvements up to a maximum credit of $1500. Eligible improvements include energy efficient exterior doors and windows, insulation, heat pumps, furnaces, central a/c and water heaters. If you need to replace these items this year in either the home you are selling or the home you buy, you can take the credit.

Hi Kim,
I know it seems unfair that the credit is only for first-time homebuyers (anyone who currently doesn't own a home and hasn't purchased one in the last 3 years). The credit is a stimulus item and is geared towards providing an incentive for people who don't have a home to buy one and absorb the excess inventory currently haunting many housing markets. Unfortunately, by providing a similar incentive to current homeowners, that would bring more homes on the market in turn being counter-productive. On the plus side for current homeowners,by increasing demand it should hopefully stabilize the housing market and keep property values from declining any further.

Actually, Kim, the tax break are for first time home buyers who have not OWNED a home in the three years prior to closing. In fact, here is the link comparing 2008's program with the 2009 program. Thais will give you all of the important details.

http://www.realtor.org/wps/wcm/connect/b32db1004d05f6338052c…

Hope that helps,

Terrence Charest, e-Pro

Hello Kim!

Did you know that a First Time Home Buyer is considered to be someone who has not purchased a home in the last 3 years? This is a common misconception about the definition of a First Time Home Buyer. This rule opens up this opportunity to many more Home Buyers.

I have included a link for more information.

Kim, unfortunately not much. Depending upon where you live some boroughs, towns, cities, may have some lower mortgage interest rates that you may qualify for if buying a home in certain areas. But so far as anything relating to a tax break nothing new so far... You may have a portion of closing costs in selling and buying a home that you may be able to use as dedductions but you would need to consult a tax expert on those issues.