$18k Tax credit for California Home Buyers! how…

This is big news for home buyers in California!

The credit will apply to first-time buyers who purchase new or existing homes between May 1 and Dec. 31 of this year. It is for 5 percent of the purchase price, or up to $10,000.

Governator Schwarzenegger is expected to sign it into law soon.

Want to hear something REALLY crazy? It may be possible to combine this credit with the Federal Tax credit of $8,000, enabling a home buyer to potentially capitalize on up to $18,000 in tax credits! Wow! It’s a narrow window of opportunity: you would need to be officially in a contract by April 30, 2010, but close between May 1, 2010 and June 30, 2010.

If the extended tax credit follows the same guidelines as the previous tax credit (which ended in August 2009), here are the basic requirements:

Must purchase the home between May 1, 2010 and December 31, 2010.
Purchase date is the date escrow closes.
The home must be the principal residence of the home buyer
Home must be occupied by the taxpayer for a minimum of two years

There are additional requirements…and we’ll post them as soon as we get them from the top.

I thought we beat the horse to death already…but it’s time to prop it up for further beating…

UPDATE: We discuss this topic on Episode 15 of the podcast RealSpeak.tv

UPDATE #2: I hate to sound like a late-night infomercial, but we can’t stress enough how urgent and quickly you need to act in order to capitalize on this (we didn’t set the timeline; Uncle Sam and Uncle Schwarzenegger did .

Contact us ASAP to get the ball rolling!

Use the Quick Contact Form to the Below, or call (510) 270-2201. (In the meantime, checkout the Foreclosure Listings at the top of the page for homes available in the areas you’re interested in)

Federal Tax Credit Expiring Soon!

Time to get your documents in order.

It would be a total shame to meet all the requirements and be eligible for the $8,000.00 Federal Tax Credit for First-Time Home buyers, and then fail to file the required documents.

Here are the requirements, as per the Internal Revenue Service website:

IRS First-Time Homebuyer Credit Documentation Requirements

Tax time is just around the corner and if you became a First-Time Homebuyer in 2009, you’re definitely looking forward to the First-Time Homebuyer Credit. However, are you confused about the documents required to claim the credit? The IRS has put together five tips to help clarify the documentation requirements.

Settlement Statement: Purchasers of conventional homes must include a copy of the Form HUD-1 or other executed Settlement Statement.
Properly Executed Settle Statement: A properly executed settlement statement shows all parties’ names and signatures, property address, sales price and date of purchase. However, settlement statements, including the Form HUD-1 can vary from one location to another and may not include the signatures of both the buyer and seller. In areas where signatures are not required on the settlement document, the IRS encourages buyers to sign the settlement statement when they file their tax return – even in cases where the settlement form does not include a signature line.
Retail Sales Contract: Purchasers of mobile homes who are unable to get a settlement must attach a copy of the executed retail sales contract showing all parties’ names and signatures, property address, purchase price and date of purchase.
Certificate of Occupancy: For a newly constructed home, where a settlement statement is not available, attached a copy of the certificate of occupancy showing the owner’s name, property address and date of the certificate.
Long-Time Residents: If you are a long-time resident claiming the credit, the IRS recommends that you also attach documentation covering the five-consecutive-year period such as Form 1098, Mortgage Interest Statement or substitute mortgage interest statements, property tax records or homeowner’s insurance records.