2010 Homebuyer Tax Credit Extension

* This is a Sponsored Post written by me on behalf of Coldwell Banker. All opinions are 100% mine.

Kevin and I are renting the apartment that we are currently living in. We have been renting since we moved out of our parents house, up til now. I cannot recall the number of times we have discussed about getting our own property. How nice it will be to actually own our own apartment or house. We have been looking around (not actively though) at some properties around this region. With the current economy, everybody says it's a buyers market. That, along with the extension of the Homebuyer Tax Credit, maybe now is a good time to get our own place. First time homebuyers (like ourselves) or those who have not owned homes in the last three years found themselves with an instant $8,000 tax credit savings last Fall. It was due to end in November of 2009, but it was extended and is now available as 2010 Homebuyer Tax Credits.

So, how does this work? Well, basically, like I said earlier, first-time homebuyers, or those who have not owned in the last three years, can receive up to a $8,000 tax credit. Also, homeowners who have lived in a current home consecutively for 5 of the past 8 years can receive up to a $6,500 tax credit when purchasing a home. Sounds good? Yeah it is! However, you better act fast. There may be no future extensions, so all qualified homebuyers are urged to act and have a written, binding contract by April 30, 2010 (close by June 30, 2010). Also, qualifying income limits are now $125,000 for singles and $225,000 for married couples, with a $20,000 phase-out of the credit for both. For more information, check out this video about the 2010 Homebuyer Tax credits from the Coldwell Banker Real Estate Learn Center website.

This is indeed a good plan for first time home buyers. We all know that first-time tax credit was working, but what housing and our national economy needed was incentive for the move-up buyer. According to The 2009 National Association of Realtors® Profile of Home Buyers and Sellers, the number of first-time home buyers rose to 47 percent of all home sales from 41 percent of transactions in last years study, and was the highest on record dating back to 1981. The previous high was 44 percent in 1991! Something tells me I like this plan...sounds like a good plan indeed.