Housing Bill Passes The Senate - what's next?
Here is an update on the bill that just passed the Senate ....
1. Provide a direct tax credit to any homebuyer who purchases any home
2. Amount of the tax credit would be $15,000 or 10 percent of the purchase price, whichever is less
3. Purchases must be made within one year of the legislation’s enactment
4. The tax credit would not have to be repaid
5. The amendment would allow taxpayers to claim the credit on their 2008 income tax return
6. This only applies to purchases of a principal residence
7. Recapturing the credit if the home is sold within two years of purchase
8. Would sunset the current $7,500 housing tax credit on the date of enactment.
This has passed the Senate, but the entire bill still needs to go back to the House and ultimately be signed by the President. Thus, there could be many changes before this happens or this could possibly not pass at all. Nonetheless, it is encouraging for us in the Real Estate industry and for those who are in the market to buy or sell a home today.
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