Assembly Bill 183, the Homebuyer Tax Credit legislation has officially been signed into law! AB 183 provides $200 million in tax credits, half of which is allocated toward first time buyers purchasing existing homes and the other half for first time buyers purchasing new or never occupied homes.
Here's the important dates:
One must purchases a home on and after May 1, 2010, and on or before Dec. 31, 2010
or
One must purchase a home on and after Dec. 31, 2010, and before Aug. 1, 2011, if under contract before Dec. 31, 2010.
How much is the credit?
The credit is the lesser of 5 percent of the purchase price or $10,000, in equal installments over three consecutive years.
Catches?
Purchasers must live in the home for at least two years or pay back the credit!
There's never been more incentive than now as it is currently possible for buyers to get a total of $18,000 in tax credits if they get into escrow by the end of the month! We'd love to help you make this happen.
