American Recovery and Reinvestment Act of 2009

Eligible buyers must close by December 1, 2009 so it’s important to select a residence soon to make sure you don’t get left out.  The credit applies to first-time homebuyers, as well as individuals who have not owned a principal residence in the 3-year period prior to the purchase, and applies to homes purchased between January 1, 2009 and December 1, 2009.  The tax credit is equal to 10% of the purchase price, but capped at $8,000.  Certain income restrictions apply so be sure to visit www.irs.gov to learn more about eligibility requirements and limitations.

The credit:

• applies to purchases that close before December 1, 2009
• applies only to homes used as the taxpayer’s principal residence
• reduces a taxpayer’s tax bill or increases his or her refund, dollar for dollar
• is fully refundable, meaning the credit will be paid out to eligible tax payers, even if they owe no tax or the credit is more than the tax owed

Recovery:  First-Time Homebuyer Credit

First-Time Homebuyer Credit Questions and Answers: Basic Information

For more information please contact me at (305) 329-4929 or solovay.m@ewm.com