Nov
08
The First Time Home Buyer Incentive – A Great Government Aid Program
By
Jennifer Lynn Hanson asked:
In an attempt to revive the real estate market and our economy in general, the federal government is now offering a very big incentive to first time home buyers. If you qualify and are looking to purchase a home, you may be entitled to $7500 in tax credit just for buying a home. How does the first time home buyer incentive work and do you qualify?
In order to qualify for the first time home buyer incentive, you need to purchase a home in the United States and have it be your primary residence. In other words, you cannot purchase the home as an investment and rent it out to others for income. You must live there. Secondly, you cannot have owned a home for a minimum of three years. The program is basically targeting those who have been thinking about buying a house but have yet to do so. The hope is that this incentive will push them over the fence.
The amount of the tax credit that you can receive is up to 10% of the purchase price of the home, with a maximum payout of $7500.
The maximum annual income amount for an individual to qualify for this program is $75,000. The maximum amount for a household is $150,000. If your income exceeds these amounts but is less than $90,000 and $170,000 respectively, you may still qualify, but for a lesser amount.
The tax rebate must be payed back to the government, but they give borrowers fifteen years to do it and do not charge any interest. Small payments of around 6 percent a year are required.
Selling A House?
In an attempt to revive the real estate market and our economy in general, the federal government is now offering a very big incentive to first time home buyers. If you qualify and are looking to purchase a home, you may be entitled to $7500 in tax credit just for buying a home. How does the first time home buyer incentive work and do you qualify?
In order to qualify for the first time home buyer incentive, you need to purchase a home in the United States and have it be your primary residence. In other words, you cannot purchase the home as an investment and rent it out to others for income. You must live there. Secondly, you cannot have owned a home for a minimum of three years. The program is basically targeting those who have been thinking about buying a house but have yet to do so. The hope is that this incentive will push them over the fence.
The amount of the tax credit that you can receive is up to 10% of the purchase price of the home, with a maximum payout of $7500.
The maximum annual income amount for an individual to qualify for this program is $75,000. The maximum amount for a household is $150,000. If your income exceeds these amounts but is less than $90,000 and $170,000 respectively, you may still qualify, but for a lesser amount.
The tax rebate must be payed back to the government, but they give borrowers fifteen years to do it and do not charge any interest. Small payments of around 6 percent a year are required.
Selling A House?
