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It’s last call for those who want to take advantage of the home buyer tax credit. You don’t have to go home, but you can’t stay on the fence any longer. Per the tax credit’s conditions, buyers need to be under contract by April 30.
That’s a tight squeeze for buyers still considering their options. But there’s a deserving demographic that has a little more time to make a decision — our nation’s military men and women.
Active-duty service members who are serving outside of the U.S. on extended duty have an additional year to qualify for this tax credit. Qualified military members must be under contract on a purchase by April 30, 2011 and close on the deal by June 30, 2011.
For all interested buyers, the tax credit has general requirements:
-The maximum purchase price of a home is $800,000.
-To be considered a first-time home buyer, you or your spouse cannot have owned a home in the last three years.
-Individuals with an annual income that meets or exceeds $125,000 are not eligible. Neither are married couples who file jointly and have an income greater than $250,000.
There’s also a tax credit opportunity for non first-timers. This $6,500 tax credit is for homeowners who have lived in their current residence for five out of the last eight years. All other requirements are the same as the $8,000 credit.
Military buyers can combine the tax credit with the significant financial benefits of a home loan guaranteed by the Department of Veterans Affairs. VA guidelines allow qualified borrowers to purchase with no money down and no private mortgage insurance, signature benefits only enhanced by the unique tax credit opportunities.
To learn more about the tax credit, check out this informative page at the IRS website.
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Thanks for the information. Too bad my son was serving out of the country for the last year. Any hope for someone like him to have this extended?