Springfield, Illinois Homes and Real Estate with John Klemm, Realtor - Buy, Sell, Relocation

This week, the largest Stimulus bill in our country's history was passed by Congress and signed by President Obama.  Chief among the many things contained in this legislation is a first-time home buyer tax credit (10% of purchase price up to $8,000) for qualified home purchases in 2009.

To summarize, the tax credit:

• Only available to first time home buyers (those that have not owned a home in the last three years)
• Does not have to be repaid (must stay in home minimum of 3 years)
•  Is fully refundable
• Will remain in effect until Dec. 1, 2009 so that buyers can utilize it during the critical summer and fall home-buying months
• Allows tax credit home buyers to participate in the mortgage revenue bond program (in Illinois, this is referred to as the I-Loan program)
• Permits state housing finance agencies to help buyers at closing by advancing the credit amount as a loan using tax-exempt bond proceeds

More information on the first-time home buyer tax credit can be found at www.federalhousingtaxcredit.com.