The New Expanded 2009 Tax Credit Features are:

• Tax Credit Amount - The tax credit amount is 10% of the purchase price of the home or $8,000 whichever is less.  New! "Move up" homebuyer tax credit up to $6,500!!!
  
• Who can get the tax credit? - First time homebuyers purchasing a principal residence only.  If you have not owned a home in the last three years, you may be eligible!  New! "Move up" homebuyer tax credit for buyers who have used their previous home as a principal residence for 5 consecutive years of the previous 8 years.  Homes worth more than $800,000 would not be eligible.


• Income Limits - New! Income limits increased and are the same for first- time or "move up" buyers.  $125,000 for individuals and $225,000 for couples.  The tax credit is limited to eligible borrowers and does have income restrictions.  $75,000 for an individual and $150,000 for a couple.


• When do I have to buy a home? - New! The time frame for the expanded tax credit is from December 1, 2009 to April 30, 2010 plus a 60 day extension if a binding contract is in place by April 30th, 2010.  Buyers who are eligible for the tax credit must purchase their home between January 1, 2009 and November 30, 2009.  Purchases closed after this date will not qualify.  Expanded tax credit dates December 1, 2009


• Do I have to pay the tax credit back? - Unlike the tax credit that was given prior to January 1, 2009, as long as you do not sell or rent the property in the first three years, the money is free and does NOT have to be repaid.

Click here for the IRS 5405 First-Time Homebuyer Credit Form.