Home Buyer Tax Credit Extended and Expanded

The First Time Home Buyer Tax Credit created earlier this year in the Economic Stimulus Packagage has been extended to April 30, 2010. The tax credit was set to expire at the end of November. More significantly, the tax credit has been expanded to include buyers who are not purchasing a home for the first time. A $6500 tax credit is now available to homeowners purchasing a new home that have lived in their current residence for five consecutive years. The credit is limited to purchases below $800,000 and to individuals who earn less than $125,000 per year, or couples earning less than $225,000. To take advantage of these tax credits fill out an Acre Mortgage loan request form, or give us a call at 800-511-3330.

Without an Extension The Stimulus Tax Credit is Set to Expire in 5 Months

The $8000 First Time Home Buyer Credit created as part of the Stimulus Package passed by Congress earlier this year is set to expire 5 months from today. There has been much speculation that the tax credit will be extended, but currently there is no definitive indication that Congress will extend the deadline. Right now the clock is ticking. If you have been thinking about purchasing your first home now is the time to act to ensure you capitalize on the credit. 5 months may seem like a lot of time but when it comes to real estate that is not so. It takes time to find the right home, negotiate an offer that is accepted by the seller, get approved for financing, have all the necessary inspections of the home performed, dot all the I's and cross all the T's required, and finally get to the table for closing. So don't delay, get started today. The best way to get started is by filling out an Acre Mortgage loan request form for a pre-approval letter. Having a pre-approval letter helps get the buying process moving because it signals to all parties involved that you are a serious buyer. It also provide leverage in negotiations with sellers.

How to Monetize your Tax Credit for a Down Payment

First Time Homebuyers do not have to wait until filing their income taxes to use the the $8000 tax credit implemented in the Stimulus Package earlier this year. HUD is permitting FHA approved lenders to issue short term bridge loans to monetize the tax credit. This enables buyers to use the tax credit as a downpayment and have funds available for closing costs. If you are interested in monetizing your tax credit for a down payment or closing costs fill out an Acre Mortgage loan request form, or give us a call at 800-511-3330.

Tax Tip: Apply your 2009 Home Buyer Tax Credit to your 2008 Tax Return

Here is some important tax information you may not be aware of. The $8000 First Time Home Buyer Tax Credit available for purchases between January 1, 2009 and December 1, 2009 can be applied to your 2008 tax return. Which means if you are a qualified first time home buyer and you have purchased a home this year you don't have to wait until next year to claim the credit. If you are buying a home and would like to claim it on your 2008 tax return, but have already filed your 2008 return, you may file an amended 2008 return in order to claim the credit. Consult with a tax professional for more details.

Stimulus Package Contains Substantial Home Buyer Tax Credit

On Feb 17, 2009 President Obama signed the much anticipated Economic Stimulus Package dubbed the American Recovery and Reinvestment Act into law. This Stimulus Package has a very substantial tax credit available for first time home buyers. Here the details on the credit:

• The tax credit is equal to 10 percent of the home’s purchase price up to a maximum of $8,000
  
• Available to First Time Home Buyers. A First Time Buyer is defined as someone who has not owned a principal residence in the previous three years.
  
• Any type of home that is a principal residence qualifies. This includes single-family detached homes, attached homes like townhouses and condominiums, and mobile homes.
  
• Applies to purchases made between January 1, 2009 and before December 1, 2009.
  
• The full tax credit is available for Single taxpayers with a modified adjustable gross income up to $75,000 and $150,000 for married taxpayers that file joint returns. A partial tax credit is available for taxpayers with greater earnings.
  

Now is a very advantageous time to buy a home. Home prices have steadily declined in value in most areas of the country since autumn of 2007. This has resulted in a slew of affordably priced homes available for sale. The $8000 tax credit included in the Economic Stimulus Package gives people another great reason to buy a home this year. Contact Acre Mortgage and we can get you pre-approved so you can begin shopping for a new home, or if you are already in need of financing we can help you with that. Give us a call at 800-511-3330.

Acre Mortgage Now an Approved PHFA Lender

Acre Mortgage & Financial, Inc. has recently been approved as a lender for The Pennsylvania Housing Finance Agency (PHFA). The PHFA has a number of terrific programs available to Pennsylvania borrowers such as The HOMEstead Downpayment and Closing Cost Assistance Loan. The HOMEstead Programs offers eligible borrowers up to $14,999 in downpayment and closing cost assistance in the form of a no-interest, second mortgage loan. For more information give us a call at 800-511-3330.

Acre Mortgage Approved For NJ Smart Start Program

Acre Mortgage has recently been approved as a lender for the NJ Smart Start Program. The Smart Start Program offers First Time Home Buyers in New Jersey low-interest fixed-rate mortgages from The New Jersey Housing and Mortgage Finance Agency.

For more information on the Smart Start Program visit http://www.nj.gov/dca/hmfa/consu/buyers/ownprg/smart.html