Are you a Property Virgin? $8,000 $Reasons to find why now might be the time to buy your first home
I have got to give credit where credit is due..Krisstina Wise is an Austin real estate broker, head of the Good Life Team. Earlier today she followed me on Twitter. I decided to check out the website of her self-described "hip" Austin real estate brokerage. I found it engaging, well-thought out, informative and professionally done. They use video judiciously and well and have some good tools for buyers and sellers. Their blog had a post on the new federal tax credit for first time home buyers. It wasn't the feds who coined the "Property Virgin", nor did I, so I MUST give credit where credit is due. Thanks to Krisstina and the Good Life team. Here is a bit of their post: No joke. The 8,000 reasons to buy today are quantified in terms of real dollars — $8,000! That’s right. As part of the stimulus package, Uncle Sam is offering “First-Time Homebuyers†(Let’s call you Property Virgins) up to $8,000 in the form of a tax credit for purchasing a home in 2009. If you have been on the fence or if you are considering buying a home in the next year or so – you must learn about the American Recovery and Reinvestment Act of 2009 – The First-time homebuyer tax credit. This is a special opportunity that enables you, as a Virgin, to be one of the few who can BENEFIT from this crazy economy. What is it? As part of the Stimulus package, a Property Virgin who purchases in 2009 is eligible to receive up to 10% of the cost of the house –up to $8,000– in the form of a tax credit on their tax return (did we just use stimulus and virgin in the same sentence?). A tax credit means that the $8,000 is a dollar for dollar reduction in what you owe in taxes. This means that if you owed $8,000 in income taxes and you received the $8,000 tax credit, you would owe nothing to the IRS. If you are owed a refund of $1,000, after the credit you would receive a refund of $9,000! And no, you don’t have to pay it back if you live in your new home for at least 3 years. Actually both the term property virgin and first time buyer are not really accurate. Eligibility for this tax break really focuses on your...