valoansdoneright.com

It’s official.

In landslide votes, the extension/expansion of the first time home buyer tax credit passed both houses of Congress and is now on its way to the President’s desk for signing tomorrow.

The credit now goes through May 1st, which means you can sign a contract through May 1st as long as you close on the property by June 30th.
It gives up to $8000 for first time buyers (defined as not having owned a home for the past three years) and up to a $6500 credit to move-up buyers who have owned and occupied their current homes for at least five years.

Again, you have to be an owner occupant of this primary residence, no investors here, and there is an income cap for single filers at $125,000 and joint filers at $225,000. Oh, and the home you buy can’t be more than $800,000.

Thursday, the House of Representatives voted unanimously to pass the Service Members Home Ownership Tax Act of 2009 extending the current $8,000 first-time home buyer tax credit to November 30, 2010 for members of the military, Foreign Service, and intelligence corp who served at least three months of qualified overseas duty in 2009. At least for now the program is set to expire on November 30th, 2009 for everyone else. The justification for the extension stems from the fact that if you’ve been serving abroad, it makes it difficult to look for a house and take advantage of the program. Extending it another year certainly makes sense.

The bill still needs to pass the Senate, be reconciled, and then signed by the President before it is law. Given the circumstances this seems highly likely.

http://www.govtrack.us/congress/bill.xpd?bill=h111-3590