1. Tax Credit for First Time Homebuyers

2. In September of 2008, the Housing and
Economic Recovery Act of 2008 was signed.
The Act was created to encourage many
people to make that big purchase of a new
home now instead of waiting.
The economy and housing market was in
need of a boost.
3. The first tax credit was in the amount
of $7500 or 10% of the purchase price
with a repayment period of
15 years, beginning two years after
claiming it on their tax return.
This amountand conditions was
created and signed under the Bush
administration.
4. Under Bushs tax credit, taxpayers
were required to pay back the credit
therefore it came to be referred to
as a interest free loan/credit.
President Bushs hope was that with this incentive more taxpayers would use the extra cash to make purchases that they may have otherwise not made.
5. To qualify, homes had to be purchased between April 9, 2008 & July 30, 2009.
First time homebuyers under this law
were not just homebuyers making their first initial home purchase but those who had not previously owned a home in the three years preceding the date of current
purchase.
6. After taking office, President Obama
revised the Housing Act, raising the
amount to $8000 and no longer making
it a repayable credit.
It became law on Feb. 17, 2009and was
known as the American Recovery and
Reinvestment Act of 2009.
Under this new law, homes were
now required to be purchased between
Jan. 1, 2009 & Dec. 1, 2009
7. Circumstances that would disqualify a taxpayer
from being eligible for tax credit.

Having owned a home in the prior three years.

8. Being a nonresident 9. Selling the home in first year 10. Stop using home as primary residence 11. Income exceeds $170,000 for joint and $95,000 for single
12. Statistics of how the housing market
has been affected by the tax credit is
still unknown.Though some home
lots have reported an increase in new
home purchasers inquiring about the
tax credit and if they would qualify.
Hopefully in the upcoming months
more information will be available
in order for the government to
know whether this tax credit has
helped.
13. Presented and Created by
Alicia Adair
Technical Communications
Augusta Tech
Ms. Owens