Fresno Real Estate – $18,000 In Combined Homebuyer Tax Credits For A Limited Time

Please consult your accountant regarding any homebuyer tax credits and how it applies to you.

Amongst Fresno Realtors and others in the Fresno real estate world you always hear “it’s a GREAT time to buy” and/or sell right?  Well… now it’s a FACT!

There are now up to $18,000 combined ($8000 federal + $10,000 state) home buyer tax credit for 1st time buyers (non-homeowners for 3+ years) and up to $16,500 combined ($6500 federal with the purchase of any home + $10,000 state with the purchase of a new construction home)… this is a lot of reasons why buyers should buy now if they have been considering it lately.  Get the message out… Tweet this blog post, share it on Facebook, share it in an email or use the “share tools” I provide at the bottom of this blog post…

…the home buyer tax credit available to Californian’s has become really SERIOUS money.

Be sure to consult your accountant for full details and how it applies to YOU!

Resources:

Franchise Tax Board regarding details of tax credit:  2010 Tax Credit for New Home / First Time Buyer

Below is an excerpt from the California Association of Realtors…

$18,000 IN COMBINED HOMEBUYER TAX CREDITS FOR A LIMITED TIME

Californians have a brief window of opportunity to receive up to $18,000 in combined federal and state homebuyer tax credits. To take advantage of both tax credits, a first-time homebuyer must enter into a purchase contract for a principal residence before May 1, 2010, and close escrow between May 1, 2010 and June 30, 2010, inclusive. Buyers who are not first-time homebuyers may use the same timeframes to receive up to $16,500 in combined tax credits if they are long-time residents of their existing homes as permitted under federal law, and they purchase properties that have never been previously occupied as provided under California law.

Under the federal law slated to soon expire, a first-time homebuyer may receive up to $8,000 in tax credits, and a long-time resident may receive up to $6,500, for certain purchase contracts entered into by April 30, 2010 that close escrow by June 30, 2010. Additionally, under a newly enacted California law, a homebuyer may receive up to $10,000 in tax credits as a first-time homebuyer or buyer of a property that has never been occupied. The new California law applies to certain purchases that close escrow on or after May 1, 2010 (see Cal. Rev. & Tax Code section 17059.1(a)(4)). California law generally allows buyers of never-occupied properties to reserve their credits before closing escrow, but buyers seeking to combine the federal and state tax credits will not be able to satisfy the timing requirements for such reservations (see Cal. Rev. & Tax Code section 17059.1(c)(1)(A)). Other terms and restrictions apply to both tax credits.

Thoughts, questions or comments?  Leave them below and join the discussion!