Can you believe January is already over?  Time certainly does seem to move even faster.

The deadline to take advantage of the new $6,500 federal tax credit for repeat home purchases is also coming nearer.  The repeat buyer credit supplements the popular $8,000 credit for first-time homebuyers.  If you have been confused as to how this legislation is applied, I have itemized below the steps owners of existing homes will need to follow in order to take advantage.

o          Must have occupied the same property as a principal residence for any five consecutive years during the previous eight years.  Purchasers are not required to sell their previous home, but they must be able to demonstrate that the replacement house is or will be their principal residence.

o          Credit is for up to 10 percent of the price of the replacement home, capped at $6,500.

o          Purchase contract must be dated anywhere from November 7, 2009, to April 30, 2010.  Closing must occur no later than June 30, 2010.

o          Maximum purchase price on houses eligible for the credit is $800,000.

o          Modified adjusted gross income limits must be $125,000 or less if single, $225,000 or less if married.

For information on the documentation required to file claims with the IRS, do not hesitate to give me a call.

With all the rules available, the message to potential tax-credit seekers are to SPEED UP YOUR SEARCH!  There are only 12 weeks to sign a contract and just four months to closing.

If you or any of your friends and family are looking to sell or purchase a home, please give me a call with their names and phone numbers.  I will take excellent care of them.  As always, I appreciate your referrals AND your friendship.