Who's Eligible?

If you are looking for a new home or plan to purchase your first home after November 7, 2009 and on or before April 30, 2010, don’t wait to see if you are eligible for the extended and expanded homebuyer tax credit. Keep reading below to make sure you qualify.

Current Homeowners

• If you have owned your home consecutively for 5 of the previous 8 years and are looking to sell you current home, you could receive up to the full $6,500 tax credit.

First-Time Home Buyers

• You are considered a first-time homebuyer if you have not had any ownership interest in a home in the three years previous to the day of the 2010 purchase.

Income Limits

• Homebuyers who file as single or head-of-household taxpayers can claim the full $6,500 or $8,000 tax credit if their modified adjusted gross income (MAGI) is less than $125,000.
• For married couples filing a joint return, the income limit doubles to $225,000.
• Single or head-of-household taxpayers who earn between $125,000 and $145,000 are eligible to receive a partial first-time homebuyer tax credit.
• Married couples who earn between $225,000 and $250,000 are eligible to receive a partial first-time homebuyer tax credit.
• The credit is not available for a single taxpayer who’s MAGI is greater than $145,000 and married couples with a MAGI that exceeds $250,000.

Local Restrictions

• The home must be located in the United States. Property located outside the U.S. is not eligible for the credit.

Limitation on Cost of Purchased Home

• To qualify, the cost of the purchased home is limited to $800,000.

Effective Dates for the Tax Credit

• To qualify, you must actually close on the sale of the home on or after November 7, 2009 and on or before April 30, 2010.

For more information, please read the questions and answers.