Homebuyer Tax Credit Extension

Yesterday (Wed.), the U.S. Senate reached a tenative agreement to extend the $8000 tax credit for first-time home buyers. They also added a $6,500 tax credit for other primary home purchasers, meaning that it is not just limited to first time home buyers.

Additionally, they raised the qualifying income limits in a very meaningful way – singles were increased from $75,000 to $125,000, and joint taxpayers from $150,000 to $250,000.

Buyers must have executed purchase agreements in hand by April 30, 2010, and then will have until June 30th to close. More details are likely to come, and changes could be made as reconciliation and floor voting takes place.

Stay tuned.