New Tax Law!

Yesterday at 4pm I had a conference call with Senator Christopher Dodd who was in the Senate about to vote on the bill to extend the housing tax credit which has been a critical component of the recently improving housing market.


1.  Federal government will extend the tax credit to first-time buyers,  those who haven’t owned a home in the last 3 years
Credit is $8,000
Not recaptured if the owner resides in the property for 3+ years*
Binding contracts must be finalized by 4/30/10
Closing must occur prior to 6/30/10
Single Income cannot exceed $125,000
Combined Income cannot exceed $225,000
Property must be primary residence, 1-4 family
Maximum purchase price is $800,000 


*unless they are military or foreign service personnel


2.  Tax credit extended to move-up buyers:
Credit is $6,500  
all other rules apply!

Senator Dodd expected the house to vote quickly and President Obama to sign shortly thereafter!

This should continue to boost the housing market!