Time is ticking on Home Buyer Tax Credit!

Time is ticking away on the available tax credit. In order to qualify for the $8,000 first time home buyer tax credit you must be under contract by April 30, 2010 and close with in 60 days.

The tax credit is actually 10% of the sales price up to $8,000 for first time buyers that make less than $125,000 a year as a single or $225,000 a year as a couple filing jointly.

Parents can assist with the purchase and even be co-owners with the tax credit going to the first time buyer.

This is really a fantastic program for a first time buyer, if  some one is renting for $850 a month, they could buy a $100,000 place (a nice townhome these days) have the same payment, $850, of which approximately $640 is tax deductable next year. This means with the $8,000 tax refund they can make the mortgage payment for 9+ months, basically live “rent free” then live cheaper than they did before after tax benefits?

Another factor is that all signs point to a floor in the Raleigh real estate market, showings are up, sales prices are up from last year, inventory is holding steady. It is a great time to buy.

There is also a $6,500 tax credit for move up buyers, again not bad, pay for the carpet and/or paint in the new house, redo the countertops (granite is cheap right now).

This is free after tax money, if you are thinking about changing streets, now is the time; but hurry.

Next step, call us. We can assist with setting up pre-approvals, assist with finding homes, show you homes and make sure you get a nice deal and a good home inspection all by the April 30, 2010 deadline.

Call us at 919.747.4360 or email Raleigh@changingstreets.com