Tax Incentives

Santiago Valdez|Realtor®
RE/MAX Signature North|5135 N. Ravenswood|Chicago, IL 60640
cell 773.858.2410|office 773.290.6134|fax 800.627.0132
email Santiago@Chicago773.com | website www.MainChicago.com

The best compliment I can receive is your referral!

Many incentives for home buyers have been released and/or updated recently. These programs, coupled with high affordability and low mortgage rates, make it a great time to purchase real estate. It Pays to Buy Now The federal tax credit for home buyers was recently extended and expanded First-Time Home Buyers: If you have not owned a home within the last 3 years, you may be eligjhle for a tax credit of 10% of the purchase price of your first home up to $8,000. Current Home Owners: The tax credit program has been expanded to include you, giving you .some additional incentives to move to a new home! You're now eligible for a tax credit up to $6,500 if you have owned and occupied your current residence for 5 consecutive years during the last 8 years.Here are some other eligibility requirements: The amount of income you can earn and still qualify for the full amount of the tax credit has been increased. Single tax filel"$ who earn up to $125,000 are eligible for the total credit amount. Those who earn more than this cap, but les/l than $145,000 can receive a partial credit. Joint filers who earn upto $22.5,000 are eligible for the total credit amount. Those who earn more than this cap, but les/l than $245,000 can also receive a partial credit. Important deadline: Toqualify foreitherofthese tax credits, you need to act now!! All oontract$ need to be in effect no later than April 30, 2010 and close no later than June 30, 2010. Qualifying buyers may purchase a property with a maximum sales price of $800,000.Tax Credit vs. Tax Deduction It's Important to consider that a tax cred~ is a doItar·for-doilar tax reduction, rather than a reduction in taxable income that would only save yoo a peroonbge of yoor deduction based on yoor tax rate. Better still, the ta~ cred~ is refundable, which means yoo can rocelve a check for the cred~ if you have little or no tax I~Dilrty to offset. Keepin mind the newtaJ< credit program includes 8 number of details and qualification guidelines. In addition, you may be able to benefit from additional housing· related provisions, such as funding for energy-efficient improvements. For more infonnation or answers to specific questions, please call or email me today. Oh, by the waya' ... I'm never too busy for your referrals.