2010 First Time Homebuyers Tax Credit ends in April!

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This is a Sponsored Post written by me on behalf of Coldwell Banker. All opinions are 100% mine.

One of the biggest things that I hate doing every month is writing a large check out for rent. We’re currently renting a townhouse that has been working out great for us, but renting it just like throwing money right out the window because after a year, you have nothing to show for it. But, it’s the situation we are in and you just have to make the best of it. Many people have asked why we just haven’t tried to buy a house instead and the answers are fairly simple – A) we don’t have enough money saved up, B) we don’t know where we want to buy a house C) we don’t know where we are going to settle down for the long term and like the flexibility to be able to decide to move somewhere else if we wanted.

But for those of you in a similar situation as we are, there is still hope out there – 2010 Homebuyer Tax Credits. I’m sure you heard about the  $8,000 tax credit for first time home buyers in 2009, well it’s been extended…if you hadn’t already heard that. And, even better, besides being for those first time home buyers (or those who haven’t owned a home in the last 3 years), it’s also now extended to the “move up” buyers or those looking to buy a new home or move who have been in a home for a consecutive 5 out of 8 years. The tax credit for move up buyers is $6,500.

Here’s a video from the great folks at Coldwell Banker going into some of the details and benefits of this tax credit especially like the one about how much this has helped the local economies!

An important thing to point out is that its already been determined that there will not be any more extensions on the program. So if you’re in a position to buy a house and have been thinking about it then now is the time to act. In order to qualify for the credit, you need to have a contract signed on a home by April 30, 2010 and close by June 30, 2010. Income limits are now $125,000 for singles, $225,000 for married couples with a $20,000 phase-out of the credit for both.

The first-time tax credit was working, but what housing and our national economy needed was incentive for the move-up buyer. According to The 2009 National Association of Realtors® Profile of Home Buyers and Sellers, the number of first-time home buyers rose to 47 percent of all home sales from 41 percent of transactions in last year!s study, and was the highest on record dating back to 1981. The previous high was 44 percent in 1991.

Talk about helping out the economy some! First time home buyers rose 6% last year and hopefully successful purchases will encourage others to do so throughout the rest of 2010 and help the country move forward in recovering from the economic downfall.

I hope this info has been helpful for you all! Anyone looking to make a purchase before the tax credit disappears? Be sure to do your own research on sites like Coldwell Banker, the National Associations for Realtor’s, and the government’s websites.

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