Homebuyer Tax Credit – Extended to June 2010.

As anticipated, President Obama signed the 8,000 first-time homebuyer tax credit extension into law.  The bill extends the current $8,000 first time homebuyer tax credit through April, 2010.  It also includes a tax credit of up to $6,500 for qualified move up buyers and increases the borrower income limits for both credits to $125,000 for individuals and $225,000 for couples.  
Homebuyers will qualify for the full credit as long as they have entered a binding contract by April 30, 2010 and they close the transaction by June 30, 2009.  The tax credit is limited to homes with a purchase price of $800,000 and below.  The bill also includes anti-fraud language that gives the IRS the authority to do greater oversight during the processing of the return.

Newly purchased home needs to be a primary residence.  There are other certain stipulations and conditions to qualify for the credit.  As always, we recommend that you read further into the extended bill.