OPRF Real Estate Blog

News out of Washington D.C. was good today if you are thinking about buying a new home. The soon-to-expire $8,000 First Time Home Buyer Stimulus Program has been extended until April 30^th, 2010. Further, there is a provision to that will allow many current homeowners to take advantage of the economic stimulus.

Here are some of the key details for First Time Home Buyers:

• “First Time” is defined as anyone who hasn’t owned real estate in the past 3 years
• The tax credit is $8,000 or 10%, which ever is less
• There are income restrictions ($150,000 for individuals and $225,000 for married couples)
• Properties must be under contract by April 30^th, 2010 and close by June 30^th 2010

Here are some of the key details for Current Homeowners:

• Homeowner must have owned a primary residence for 5 consecutive years within the past 8 years.
• Purchased home must be less than $800,000
• Income requirements and expiration dates are the same as for “First Timers”

I you have any questions about this government program, feel free to call me at (708) 790-8705 or send me an email at John.Plepel@EscrowRE.com. I can also refer you to either a mortgage or tax professional if there are questions that are beyond my base of knowledge.

According to CNN.com (click here for the article: http://www.cnn.com/2009/POLITICS/10/28/senate.homebuyers.credit/index.html ), the senate is reportedly close to an agreement that would extend the tax credit program.  Additionally, the article says the new bill will also include a tax credit for current homeowners who purchase a new home.

The bill will also need to go to the House of Representatives and there are many details that still need to be disclosed, including income requirements.  I will forward more information when I come across it. 

In addition, if you would like to speak to a lender about these programs, feel free to drop me a line (john.plepel@EscrowRE.com or 708.790.8705).  I have a couple good loan officers I can refer you to.