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First Time Home Buyer
Hey, first-time homebuyer: How does $8,000 from your Uncle Sam sound?
Want an extra $8,000? If you’re a first-time homebuyer then we have a nice surprise for you.
Last fall, the Federal Government introduced a financial incentive to prospective first-time homebuyers — an income tax credit of up to $7,500. The rules were simple: you must have been a first-time homebuyer (as defined by not owning a home in the previous three years) and you met certain income restrictions.
The new $8,000 tax credit is available to those who buy between January 1, 2009 and December 1, 2009. It’s not a deduction, it’s an actual credit. Unlike the $7,500 first-time homebuyer tax credit introduced last summer; this does not need to be repaid.
First timers who qualify can make no more than $75,000 in adjusted gross income if they’re single or $150,000 if filing jointly. The maximum tax credit is $8,000 or 10 percent of the sales price of the home, whichever is less. Three years residence in the property are required. As always, check with your accountant for details and be sure to submit IRS form 5405when you file your taxes.
Local Market Monitor Releases Latest Home Price Forecast for Largest US Markets
Real estate forecasting solution identifies Top 10 and Bottom 10 housing markets for both the large and small Metropolitan Statistical Areas (MSAs)
CARY, N.C., June 23 /PRNewswire/ -- Local Market Monitor, the premier real estate forecasting solution, today released its latest Home Price Forecast, covering well over 300 US local markets. The forecast, which predicts local market behavior over the next 12 months, identifies markets where home prices will continue to drop as well as stable markets with opportunities for growth.
According to the forecast, among the largest US markets -- identified as those with populations greater than 600,000 -- the 10 markets with the best expected performance in home price are:
Baton Rouge, LA
Buffalo-Niagara Falls, NY
Dallas-Plano-Irving, TX
Fort Worth-Arlington, TX
Houston-Sugar Land-Baytown, TX
Little Rock-North Little Rock-Conway, AR
McAllen-Edinburg-Mission, TX
Oklahoma City, OK
Rochester, NY
San Antonio, TX
Syracuse, NY
Tulsa, OK
Wichita, KS
These top markets, where home values are expected to remain level, are among those markets that did not have a big housing boom. Home prices in these areas are generally below the US average and reflect where the recession has so far had a relatively mild impact.
"These are markets that did not have a large boost in home prices over the last few years and therefore, even though the economy is doing poorly, no adjustment in prices has been necessary," said
Ingo Winzer, president of Local Market Monitor. "Steady economic growth and price appreciation have helped these markets remain stable."
The 10 largest markets with the worst expected performance in home price are:
Bakersfield, CA
Fort Lauderdale-Pompano Beach-Deerfield Beach, FL
Fresno, CA
Las Vegas-Paradise, NV
Miami-Miami Beach-Kendall, FL
Orlando-Kissimmee, FL
Oxnard-Thousand Oaks-Ventura, CA
Phoenix-Mesa-Scottsdale, AZ
Riverside-San Bernardino-Ontario, CA
Stockton, CA
West Palm Beach-Boca Raton-Boynton Beach, FL
These markets, which are expected to have the largest declines in home values over the next year, are also among those that previously had the biggest price booms. This was attributed in large part to speculative buying, including the repercussions of inflated housing construction on the local job market and investor portfolios.
