The Home Buyer Tax Credit legislation has signed an extension of the $8,000 max tax credit to first time home owners to April 30th of 2010. Recent home buyers are relieved as the time line has been extended making less of a rush for processing paper work and home sales at lightening speed.
The American Recovery and Reinvestment Act of 2009 states those who have not owned a primary residence for 3 years will be considered first time home buyers and eligible for the tax credit. These first time buyers may recieve a a tax break of up to 10% of the home’s final sale price, with an $8,000 maximum. The extension has also broadened the number of people eligible for the credit, allowing those who have lived in the same home for five continuous years & meet the other pre-requisites to be eligible for a credit up to $6,500. The tax credit has stimulated the Massachusetts home market to it’s highest number of sales in the past two years.