TroyWaters.com Phoenix, AZ Area Real Estate

Bringing the Dream of Homeownership Within Reach

2010-01-22T14:20:00.000-08:00

I thought I would review a few of the details for the homebuyer tax credit. As part of its plan to stimulate the U.S. housing market and address the economic challenges facing our nation, Congress has passed new legislation that:

•• Extends the First-Time Home Buyer Tax Credit of up to $8,000 to first-time home buyers until April 30, 2010.

•• Expands the credit to grant up to $6,500 credit to current home owners purchasing a new or existing home between November 7, 2009 and April 30, 2010.
Here is more information about how the Extended Home Buyer Tax Credit can help prospective home buyers become part of the American dream. If you have specific questions or need additional information, please contact a tax professional or the Internal Revenue Service at 800-829-1040.

Who Qualifies for the Extended Credit?
•• First-time home buyers who purchase homes between November 7, 2009 and April 30, 2010.

•• Current home owners purchasing a home between November 7, 2009 and April 30, 2010, who have used the home being sold or vacated as a principal residence for five consecutive years within the last eight.
To qualify as a “first-time home buyer” the purchaser or his/her spouse may not have owned a residence during the three years prior to the purchase.

Which Properties Are Eligible?
The Extended Home Buyer Tax Credit may be applied to primary residences, including: single-family homes, condos, townhomes, and co-ops.

How Much Is Available?
The maximum allowable credit for first-time home buyers is $8,000.

The maximum allowable credit for current homeowners is $6,500.

How is a Buyer's Credit Amount Determined?
Each home buyer’s tax credit is determined by two additional factors:

1.The price of the home.
2.The buyer's income.

Price

Under the Extended Home Buyer Tax Credit, credit may only be awarded on homes purchased for $800,000 or less.

Buyer Income

Under the Extended Home Buyer Tax Credit, which is effective on November 7, 2009, single buyers with incomes up to $125,000 and married couples with incomes up to $225,000—may receive the maximum tax credit.

These income limits have changed from the 2009 First-Time Home Buyer Tax Credit limits. If you purchased a home between January 1, 2009 and November 6, 2009, please see 2009 First-Time Home Buyer Tax Credit.

If the Buyer(s)’ Income Exceeds These Limits, Can He/She Still Get a Credit?
Yes, some buyers may still be eligible for the credit.

The credit decreases for buyers who earn between $125,000 and $145,000 for single buyers and between $225,000 and $245,000 for home buyers filing jointly. The amount of the tax credit decreases as his/her income approaches the maximum limit. Home buyers earning more than the maximum qualifying income—over $145,000 for singles and over $245,000 for couples are not eligible for the credit.

Can a Buyer Still Qualify If He/She Closes After April 30, 2010?
Under the Extended Home Buyer Tax Credit, as long as a written binding contract to purchase is in effect on April 30, 2010, the purchaser will have until July 1, 2010 to close.

Will the Tax Credit Need to Be Repaid?
No. The buyer does not need to repay the tax credit, if he/she occupies the home for three years or more. However, if the property is sold during this three-year period, the full amount credit will be recouped on the sale.

30-Year Mortgage Rates Slide Below 5%

2010-01-22T14:10:00.000-08:00

Long-term mortgage rates fell for the third straight week, pushing the average rate on 30-year fixed home loans below 5 percent again, according to Freddie Mac. This week, average interest on 30-year mortgages was 4.99 percent, compared to 5.06 percent last week and 5.16 percent a year ago. Rates on 15-year fixed loans also followed bond yields lower, averaging 4.40 percent, compared to 4.45 percent last week; and adjustable-rate mortgages also fell this week.

Source: Los Angeles Times, E. Scott Reckard (01/22/10)

Welcome to TroyWaters.com

2009-05-17T10:41:00.001-07:00

Hello!

Welcome to the TroyWaters.com blog.

I am a REALTOR® living and working in the west valley of Phoenix, Arizona. I am currently a resident of the City of Goodyear, Arizona and have been for the past 6 years. I really enjoy living and working in the west valley.

On this blog, I hope to share with you news and information that will be informative and fun. I would love to hear your comments and you can do that by writing to me at Troy@TroyWaters.com.

If you are looking for a new home or you’re a first-time home buyer and are interested in exploring what the west valley cities of Avondale, Goodyear, Buckeye, Litchfield Park, Tolleson, Laveen, Surprise or Phoenix has to offer please let me know how I can help.

This is a great time for first-time buyers to look at purchasing that new home. Because, it may be the largest purchase you have made to see that it runs a smooth as possible. I would love to be given the honor of working with you and assuring you that it will be the smoothest process it can be.

If you have any questions at all check out my website at www.Troywaters.com. Please feel free to email me at Troy@TroyWaters.com or follow me on Facebook as Troy Waters or on Twitter as PhxRealtorTroy.

I look forward to working with you or answering your questions.

Troy