President Obama signed the bill on Friday which extended the $8,000 First Time Homebuyer Tax Credit and Advance Loan Program to April 30, 2010 – giving more consumers more time to receive the refundable tax credit when buying a principal residence.
New features make the extension attractive to homebuyers, including:
New Deadline: Sales contract must be in place by April 30, 2010 – but homeowners have an additional 60 days to close
New Dollar Amount and Eligibility: Up to $8,000 for first-time home buyers OR $6,500 for current homeowners who have lived in their current residence for 5 consecutive years and are purchasing their next property.
New Income Cap: maximum $125,000 (individual) or $225,000 (married couples). Increases in the cap make the measure available to a broader group of customers. (used to be $75,000 for individuals and $150,000 for couples)
Purchase Price: $800,000 maximum purchase price
You still must live in the new home for 3 years or be required to repay the credit.
Advance Loan Programs provide down payment and closing cost financing assistance in some states so that homebuyers can use the credit before their closing. We don’t have this program for Illinois buyers at this time.
If you are thinking about purchasing a home in Illinois, contact me for a free pre-approval and consultation today. Office: 847-512-2775 or corinne.guerra@rwfmortgage.com.
RWF Mortgage is a direct affiliate of Wells Fargo Home Mortgage.
//
