Condo Media - March 2010 - 40

FINANCE First-Time Homebuyer Credit Extended Some Current Homeowners Now Also Qualify s of Nov. 6, 2009, the Worker, Homeownership and Business Assistance Act of 2009 extends the deadline for qualifying home purchases from Nov. 30, 2009 to April 30, 2010. Additionally, if a buyer enters into a binding contract by April 30, 2010, the buyer has until June 30, 2010 to settle on the purchase. Credit Limits The maximum credit amount remains at $8,000 for a first-time homebuyer; i.e., a buyer who hasn’t owned a primary residence during the three years up to the date of purchase. But the law also provides a “long-time resident” credit of up to $6,500. To qualify this way, a buyer must have owned and used the same home as a principal or primary residence for at least five consecutive years of the eight-year period ending on the date of purchase of a new home as a primary residence. Income Limits Rise The new law raises the income limits for people who purchase homes after Nov. 6, 2009. The full credit will be available to taxpayers with modified adjusted gross incomes (MAGI) up to $125,000, or $225,000 for joint filers. Those with MAGI between $125,000 and $145,000, or $225,000 and $245,000 for joint filers, are eligible for a reduced credit. For homes purchased prior to Nov. 7, 2009, existing MAGI limits remain in place. The full credit is available to taxpayers with MAGI up to $75,000, or $150,000 for joint filers. Those with MAGI between $75,000 and $95,000, or $150,000 and $170,000 for joint filers, are eligible for a reduced credit. In both instances, those with higher incomes do not qualify. Your Property Management Partner Ask about our: Online Services using our “Smart Technology” Paperless initiatives Complete Disaster Recovery System Comprehensive approach to project management World-class ﬁnancial reporting AMO® and AAMC® designations New Requirements Several new restrictions on purchases that occur after Nov. 6, 2009 go into effect with the new law: • Dependents are not eligible to claim the credit. • No credit is available if the purchase price of a home is more than $800,000. • A purchaser must be at least 18 years of age on the date of purchase. “Redeﬁning association management through innovation, painstaking attention to detail and an unwavering commitment to excellence and client satisfaction.” For Members of the Military Members of the Armed Forces and certain federal employees serving outside the United States have an extra year to buy a principal residence in the United States, and still qualify for the credit. An eligible taxpayer must buy or enter into a binding contract to buy a home by April 30, 2011, and settle on the purchase by June 30, 2011. For more details on the credit, visit the First-Time Homebuyer Credit page on IRS.gov. CM The Dartmouth Group 800.260.5808 info@TheDartmouthGroup.com www.TheDartmouthGroup.com CONDO MEDIA • MARCH 2010

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Condo Media - March 2010

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