First-Time Homebuyer Tax Credit

The most exciting new provision of the Housing and Economic Recovery Act of 2008 is the First-Time Homebuyer Tax Credit! The credit is designed to encourage first-time homebuyers to go ahead and make the leap to purchase their first homes. Combine this tax credit with the fact that home prices are at historic lows, and indeed it is an ideal time for many first-time homebuyers to purchase homes in Kennewick, Pasco or Richland, Washington. The credit amounts to 10% of the purchase price of the home not to exceed $8,000. If your total tax liability ends up being $8,000, and you qualify for the full $8,000 tax credit, this credit would be applied and would wipe out all of the tax due. If your employer had already deducted the $8,000 from your pay checks throughout the year, you would receive a tax refund of $8,000. You can also use this as a down payment for your purchase!

For more information about the first-time homebuyer tax credit or other changes resulting from the Housing and Economic Recovery Act of 2008, just give me a call. I would be happy to assist you in the purchase of your new home in the Kennewick, Pasco or Richland, WA area!