The government’s definition for a first time home buyer is surprisingly a mis-nomer. The President’s stimulus program which he signed last week applies to a broader range of buyers defined as follows:
First-time homebuyers are people who have not owned a home in the previous three years. Repeat buyers must have owned their current home at least five years.
So here’s how the $8000 tax credit works:
Finally, Congress understood that our economy’s recovery depends on the recovery of housing and jobs market.
Congress has voted overwhelmingly to extend the $8000 tax credit to first time homebuyers for another 7 months and expanded the program to avail $6500 to secondary home buyers. This means that investors will get a boost in purchasing investment properties.
Savvy investors call this the best buying period of our lifetime. Indeed, compared to five years ago where many are being priced out of the market, today’s market offers various advantages.
Adjusted for inflation, housing prices in some metropolitan statistical areas have fallen back to levels not seen since the 70’s. Read the rest of this entry »
