Perhaps an easy way to understand the basics of the Tax Credit and find answers is to use the IRS site which has very easy to understand information and a Toll-Free # for questions.

http://www.irs.gov/newsroom/article/0,,id=187935,00.html

Tax Form for Tax Credit... http://www.irs.gov/pub/irs-pdf/f5405.pdf

Other Tax Info ... http://www.irs.gov/newsroom/article/0,,id=204335,00.html

Good luck, Dunes

In February, Uncle Sam decided to offer up quite an incentive to the homebuyers of 2009 (as if the affordable housing prices and low interest rates weren’t enough). Homebuyers whose home purchase closed between January 1, 2009 and November 30, 2009 are eligible for a hefty tax credit – some up to $8,000! Don’t start doing back flips yet; this is truly a wonderful incentive but if something sounds too good to be true, read the fine print.

The fine print, in this case, is that to qualify for this particular housing tax credit you either need to be purchasing your VERY FIRST home, or have no ownership interest in a home for the last three years. What this means is that if you’ve never owned a home before, you qualify. It also means that if you realized in 2005 that you could make a mint off your home and sold it and have been renting ever since, you qualify. The good news is that this qualifies a LOT of people.

More fine print? Oh yes! Don’t forget that you won’t get this $8,000 to help you purchase your home…you need to qualify for and purchase the home 100% on your own, then file your tax return with the $8,000 as a credit on your taxes. $8,000 is the maximum amount; your amount could be less if your home costs less than $80,000 or if you owe back taxes. In the case of homes that cost less than $80,000, the tax credit will be 10% of the price of the home.

The good thing about the credit is that you would receive it in the same way that you receive tax refunds from the IRS, and since it’s a refundable credit the government will give you this money even if you do not owe much in taxes, which is not the way some other tax credits and deductions work. Lastly, don’t confuse this tax credit with the $7,500 tax credit the government offered first-time homebuyers last year; that one had to be paid back over 15 years. For the $8,000 housing credit of 2009, no repayment is required as long as you live in the house for 3 years.

Once you navigate the canals of fine print, the bottom line is finally revealed:
1. If you haven’t owned a home in the last 3 years or ever,
2. You purchase a home between January 2009 and November 2009,
3. You plan on living in that home for at least 3 years,
4. You don’t owe the government back taxes…

Then you qualify for the $8,000 housing credit! So let’s go househunting!

Thanks and good luck!
Shannon Moore
941-276-8142

Hi Brooke, Here is a link to an explanation by the Venice Area Board of Realtors. Go to "$8,000 Tax Credit" to read this helpful info. http://www.venicefloridaproperty.com/venicefloridanews.asp
That link also has plenty of other valuable resources, and it is constantly updated with the latest helpful news; you may want to save the site as a favorite.
There's also a Venice Beach Tour video on my site - venicefloridaproperty.com. Relax and enjoy the tour!
Any other questions, I'd be happy to help.
Stan Rolle
877.306.2626
Follow Stan's BLOG: http://venicefloridarealestate.blogspot.com/
Follow Stan on Twitter for the latest Venice Real Estate Info: https://twitter.com/StanRolle

Hi Brooke,

Our recommendation is to check out the attached website. It provides answers to most issues directly related to the 2009 Tax Credit Program. Please consider previewing it.
http://www.federalhousingtaxcredit.com

We would be happy to respond to your specific Venice home buying questions.

Good luck
The Eckler Team

Michael Saunders & Company
billeckler@michaelsaunders.com
941-408-5363

Brooke,
To qualify you need to be a first time homebuyer.
The link below provides most of the information.

Hope this helps.
http://www.federalhousingtaxcredit.com/2009/faq.php

If you need any more information or help finding you a property, please do call or email me and we'll find something that's perfect for you.

Good Luck!!!!!!!!!

Genny
pgrealty@hotmail.com
941-268-1511 http://www.puntagordarealty.com

Hi Brooke,

This year, qualifying taxpayers who buy a home before Dec. 1, 2009, can claim the credit on either their 2008 or 2009 tax returns. They do not have to repay the credit, provided the home remains their main home for 36 months after the purchase date. They can claim 10 percent of the purchase price up to $8,000, or $4,000 for married individuals filing separately.

The amount of the credit begins to phase out for taxpayers whose adjusted gross income is more than $75,000, or $150,000 for joint filers.

For purposes of the credit, you are considered to be a first-time homebuyer if you, and your spouse if you are married, did not own any other main home during the three-year period ending on the date of purchase.

The IRS also alerted taxpayers that the new law does not affect people who purchased a home after April 8, 2008, and on or before Dec. 31, 2008. For these taxpayers who are claiming the credit on their 2008 tax returns, the maximum credit remains 10 percent of the purchase price, up to $7,500, or $3,750 for married individuals filing separately. In addition, the credit for these 2008 purchases must be repaid in 15 equal installments over 15 years, beginning with the 2010 tax year.

Hope this helps!

Shannon Moore, Realtor
Re/Max Anchor Realty
941-626-3926
twomoores19@comcast.net http://www.TropicalFLoridaProperty.com

Close on a house by November 30, 2009,and you can apply for your 8000 tax credit. There is a page on my website with the directions at http://www.DestinHomeRealtor.com that tells you more about it. There are some income limits, so read the instructions carefully--you can also call a lender and they can help you as well--they are well acquainted with all government program requirements.

Good Luck,

Myke Triebold
MykeSaysSold@aol.com
850-305-6256