The Federal Tax Credits Blog

Posts Tagged ‘cnn’

Produce the Note – Fighting Foreclosure – CNN

CARL LEVEN- 7000 LOSING UNEMPLOYMENT BENEFITS A DAY REPUBLICANS STALL PASSAGE OF 4TH EXTENTION

Question: First Time Home Buyer Credit and Revised Legislation 2009 Stimulus?

Recently my husband and I bought a house (Nov 2008). We are eligible to receive the $7500 tax credit with paying the amount back over 15 years. I recently read that there is a 2009 bill in the House(see below link) that modifies the terms of the tax credit and that if passed the tax credit would not have to be paid back. My question is would I still be eligible for these revised terms given that purchased my home last year. Also should we continue with filing our taxes now, or wait to see what happens with this bill. Thanks.

http://money.cnn.com/2009/01/29/real_estate/tax_credit_near/index.htm

Answer: Neither the House nor Senate version of the bill makes the changes to the $7500 tax credit (not having to repay it) retroactive to November. Its only retroactive to January 1, 2009 in both versions of the bill. Of course, that could change later, but as it stands now… it only goes back to 1/1/09. Any houses purchased by first time home buyers prior to 1/1/09…unless its changed…will have to pay the credit back over 15 years. Its still a good deal…its a $7500 interest free loan for 15 years!

From that article you linked to:

Both the Senate and the House versions of the new act remove the requirement that buyers repay the credit. The Senate bill applies retroactively to any purchase completed between January 1, 2009 and the end of August. The House version is also retroactive to the start of the year, and expires at the end of June. As long as buyers don’t sell for at least 36 months, they keep the money.

And the credit is refundable, meaning that it can be claimed even if the amount of the credit earned exceeds the buyer’s tax liability. So even if your total tax bill comes to just $5,000, you can still qualify for a full $7,500 refund

Realtors cautiously optimistic for 2011

Looking at trends in home prices, unemployment, interest rates, and foreclosures, some realtors are optimistic about the real estate market for the coming year, while others advise caution. Most agree that decisions about selling and buying depend on individual needs.

Queen Creek New Home Subdivisions Back in Business

Question: Clarification on new homeowners credit extension…can it bundle together with the $6,500 for 14500 total?

I’m buying a house and i’ve heard from actual news sources (time, cnn) that it that first time buyers could get 14,500. However since congress passed the bill, it has been stated 8000 for new buyers and 6500 for homeowners who plan to buy another house, or people who have lived on the house for at least 5 years (depends on source). Does this mean they will promise to live 5 years in that house and pay back if the buyers dont live 5 years or that the tax credit will be granted once they live 5 years in the residence? I will gladly accept any clarifications, thank you.

Answer: No. You must have ALREADY lived in the house for 5 years to get the $6,500. It is physically impossible to get both amounts.

Biden predicts Dems will have good 2010

‘I think we’re going to do a great deal better than anyone gives us credit for,’ Biden said of Democrats’ chances in the 2010 elections. (CNN) – Despite rampant speculation Democrats are in for a tough 2010 election cycle, Vice President Joe Biden is dismissing notions the party will witness a “grand debacle” come November. [...]

FOX News Interview with Chip Cummings – First Time Homebuyer Tax Credit