Remember, if you are a first time buyer you are likely eligible for the $8000.00 tax credit.

Plus, this makes that credit even more meaningful… Taken from www.cnn.com

“NEW YORK (CNNMoney.com) — There’s a nice windfall for some homebuyers in the economic stimulus bill awaiting President Obama’s signature on Tuesday. First-time buyers can claim a credit worth $8,000 – or 10% of the home’s value, whichever is less – on their 2008 or 2009 taxes.

A big plus is that the credit is refundable, meaning tax filers see a refund of the full $8,000 even if their total tax bill – the amount of witholding they paid during the year plus anything extra they had to pony up when they filed their returns – was less than that amount. But there has been a lot of confusion over this provision. Adam Billings of Knoxville, Tenn. wrote to CNNMoney.com asking:

“I will qualify as a first-time home buyer, and I am currently set to get a small tax refund for 2008. Does that mean if I purchased now that I would get an extra $8,000 added on top of my current refund?”

The short answer? Yes, Billings would get back the $8,000 plus what he’d overpaid. The long answer? It depends. Here are three scenarios:

Scenario 1: Your final tax liability is normally $6,000. You’ve had taxes withheld from every paycheck and at the end of the year you’ve paid Uncle Sam $6,000. Since you’ve already paid him all you owe, you get the entire $8,000 tax credit as a refund check.

Scenario 2: Your final tax liability is $6,000, but you’ve overpaid by $1,000 through your payroll witholding. Normally you would get a $1,000 refund check. In this scenario, you get $9,000, the $8,000 credit plus the $1,000 you overpaid.

Scenario 3: Your final tax liability is $6,000, but you’ve underpaid through your payroll witholding by $1,000. Normally, you would have to write the IRS a $1,000 check. This time, the first $1,000 of the tax credit pays your bill, and you get the remaining $7,000 as a refund.

To qualify for the credit, the purchase must be made between Jan. 1, 2009 and Nov. 30, 2009. Buyers may not have owned a home for the past three years to qualify as “first time” buyer. They must also live in the house for at least three years, or they will be obligated to pay back the credit.

Additionally, there are income restrictions: To qualify, buyers must make less than $75,000 for singles or $150,000 for couples. (Higher-income buyers may receive a partial credit.)

Applying for the credit will be easy – or at least as easy as doing your income taxes. Just claim it on your return. No other forms or papers have to be filed. Taxpayers who have already completed their returns can file amended returns for 2008 to claim the credit”  

Please give me a call @ 615.775.3337 or email me mark@nashvillehomesurfing.com  if I can be of assitance with your Real Estate Goals.

Commonly known as “The Village”, Hillsboro Village is one of Nashville’s few remaining collections of neighborhood merchants. It was once a streetcar suburb, and began to take shape when two grocery stores and a pharmacy opened along the trolley line that ran down 21st Avenue. The Village offers a complete line of neighborhood services, retail stores, and entertainment. Specialty stores, some of the best restaurants in town and the historic Belcourt Theatre make Hillsboro Village a destination point for all Nashvillians.

In addition to great shopping and eating, The Village also offers beautiful residential neighborhoods with historic homes, gorgeous trees, and sidewalks. Condominium living is also available in charming older units or in more modern buildings. Another great plus is the vicinity of The Village to Vanderbilt University and Medical Center. Also, nearby is the world-famous Music Row; home to many famous recording companies, talent agents, and publishing companies.