first time homebuyer tax credit
With Obama expected to sign the $787 billion stimulus plan into law tomorrow the country will hopefully be put on the path towards economic recovery. As a homebuyer the biggest difference has to do with the first-time homebuyer tax credit.
Existing First-Time Homebuyer Tax Credit
The existing first-time homebuyer tax credit (Part of The Housing and Economic Recovery Act of 2008) authorizes a $7,500 tax credit for qualified first-time home buyers purchasing homes on or after April 9, 2008 and before July 1, 2009.
In general, the tax credit is equal to 10% of the qualified home purchase price, but the credit amount is capped or limited at $7,500. For most first-time home buyers, this means the credit will equal $7,500. For home buyers purchasing a home priced less than $75,000, the credit will equal 10% of the purchase price.
But this credit isn’t really a credit, it’s a 0% loan that must be repaid over 15 years.
New First-Time Homebuyer Tax Credit under Obama’s Stimulus Plan
The tax credit under the stimulus plan would give buyers 10 percent of the price of a primary residence bought within one year, up to $15,000 $8,000, and is intended to stabilize plummeting home prices. The major difference is that this credit would NOT be a loan that would have to be paid back. It is a no-strings attached tax credit. However, home-buyers would have to repay the credit if they sold their homes within three years.
And here are your Tucson MLS 24-Hour Change Statistics
| New Listings |
30 |
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| Back on Market |
6 |
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| Price Increases |
7 |
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| Price Reductions |
55 |
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| Contingents |
10 |
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| Pendings |
9 |
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| Solds |
11 |
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| Expireds |
58 |
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| Inactives |
14 |
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I've lived in the Old Pueblo for more than a decade and have an intimate knowledge of Tucson as well as the surrounding areas. I go hiking and traveling whenever I have a break from real estate (which isn't often enough!) and enjoy taking in an Arizona sunset while relaxing in my backyard. 
