Homebuyer Tax Credit extension and expansion
NAR Issue Brief
Homebuyer Tax Credit
National Association of REALTORS® Government Affairs Division500 New Jersey Avenue, NW, Washington DC, 20001
FEATURE
Jan 1 – November 30, 2009
Rules as enacted
February 2009
November 7 – April 30, 2010
Rules as enacted
November 2009
First-time Buyer
Amount of Credit
$8000
($4000 married
filing separate)
$8000
($4000 married
filing separate)
First-time Buyer
Definition for Eligibility
May not have had an interest in
a principal residence for 3 years
prior to purchase Same
Current Homeowner
Amount of Credit No Provision$6500
($3250 married
filing separate)
Effective Date
Current Owner No Provision November 7, 2009
Current Homeowner
Definition for Eligibility No ProvisionMust have used the home sold
or being sold as a principal
residence consecutively for 5
of the previous 8 years
Termination of Credit
Purchases after November 30,
2009.
(Becomes April 30, 2010 on
Date of Enactment.)
Purchases after
April 30, 2010
Binding Contract Rule NoneSo long as a written binding
contract to purchase is in
effect on April 30, 2010, the
purchaser will have until
July 1, 2010 to close.
Income Limits
(Note: Increased income
limits are effective as of
date of enactment of bill)
$75,000 – single
$150,000 – married
Additional $20,000 phase out
$125,000 – single
$225,000 – married
Additional $20,000 phase out
Limitation on Cost of
Purchased Home None $800,000November 7, 2009
Purchase by a Dependent No Provision IneligibleNovember 7, 2009
Anti-fraud Rule NonePurchaser must attach
documentation of purchase to
tax