Tax Credit Conundrum — $8000, $15,000 or Nothing?
Posted by: Jay Reifert in Home Buyer Tax Credit, tags: $8000, eight thousand dollar, fifteen thousand dollar, finding a home, first time home buyer, Housing Crisis, stimulus money, tax credit
If you haven’t bought a home yet, you may want to sit tight for just a little while. It isn’t that an $8000.00 first time homebuyer tax credit isn’t nice…it’s just that a $15,000.00 any homebuyer tax credit would certainly be nicer.
Now, I’ll be the first to tell you, I’m not thrilled with the stimulus this, and stimulus that…in that I believe it’s going to create greater problems down the road, when the bill for all this spending comes due, but–that said–when it comes to watching out for your personal economy, in the here and now, it’s hard not to be interested in a $15,000.00 refundable tax credit.
If the legislation were to pass as it’s written, the two biggest changes, besides the amount of the credit, would be:
1) It will be for all homebuyers, not just first time home buyers. and,
2) It will not come with any kind of income qualifications.
In short, it will likely do for all market sectors what the first time home buyer credit has been doing for the first time buyer market sector.
The question is, will it pass and when? Or, for that matter, will there continue to be such tax credits, at all?
While nobody can possibly know for sure, we do know that–with the current tax credit sunsetting at 11:59:59pm on this November 30th–there will be many lobbies, including Realtors, Lenders, Builders…who are going to want to find out quickly, in that prudent home buyers will most likely not seek to buy a home between now and the phaseout of the current tax credit, in fear that they will be passing up even more money from the proposed tax credit.
Click here, if you’d like to read more about the proposed credit…
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