$7,500 Tax Credit For First Time Homebuyers! Expires June 30th, 2009!
Today, July 30th, President Bush signed a massive housing bill intended to provide mortgage relief for 400,000 struggling homeowners and to help stabilize the financial markets.
The “housing rescue” bill includes a $7500 tax credit (or 10% of the purchase price of a home) whichever is less for first time homebuyers. The long and short of it is this.
You get a $7500 tax credit the first filing year after purchasing the home. This is a big chunk o’ change. For example, if your refund was $1800, it would now be $9300!!!
HOWEVER, the $7,500 tax credit for new homeowners is not really a credit. It’s a 0% loan. Those who qualify to receive this credit will receive 10% of the purchase price of their home — up to $7,500, in the first year. Then they will repay the loan over a 15-year period, starting the following year in which the house was purchased.
In other words, if you bought a home in August 2008, you start paying back 6.667% of the original credit on your 2010 tax return. This credit applies to purchases of new homes after April 9, 2008 and before July 1, 2009. If you buy the home before July 1, 2009, you can make an election to report the purchase on your 2008 tax return and get the refund a year early!
This is a temporary credit and may not be renewed once it EXPIRES ON JUNE 30, 2009!
Although this is a loan, it’s a 0% loan and last time I checked, you can’t get those anywhere. With a $7,500 tax credit at 0% on a 15 year term the yearly payment would be around $500. This $500 would be deducted from your tax return for the next 15 years.
However, another thing to consider is when you own a home; you have far greater tax deductions. In fact, I wouldn’t be surprised if your tax return is more than it was prior to owning a home, even after the $500 was deducted! So, in essence, the $7,500 is FREE money!
If you think about it, let’s say you bought your home in February of 2009 and you elected to receive your tax credit for your 2008 tax return. You get $7,500 plus your normal tax return. The first yearly payment isn’t due until 2010. You could invest that $7,500, earn a measly 6% return, and that would almost cover your full payment for 2010!
If you keep the $7,500 invested, you get to take advantage of the most powerful force on earth, compound interest! Come 2011, you’re already making a profit every single year. Don’t let this tremendous opportunity pass you by!
Call Me TODAY at 248-674-6457 and I’ll tell you how to qualify for the $7,500 tax credit along with getting you enrolled in my “From Rent to Equity” program.
Sincerely, your friend,
Trevor Sines
248-674-6457
Trevor Sines 
The best advice a mortgage broker should give to his client is the advice he will give to his brother or sister. Unless we think of the customer benefit in giving advice we can not solve this mess.