Archive for March, 2009
$10,000 Tax Credit for Buyers! Breaking Down the New Home Tax Credit
March 19th, 2009 Categories: For Buyers, Real Estate, Real Estate News
To flush out the new homes on the market, California is offering a tax credit for qualified buyers who, between 3/1/09-3/1/10, purchase a qualified residence that has never been occupied. The buyer must reside in the new home for a minimum of two years immediately following the purchase date.
California allows the new home buyers a total tax credit amount equal to the lesser of 5% of the purchase price, or $10,000. Taxpayers must apply the total tax credit in equal amounts over three successive taxable years (max is $3,333 per year) beginning with the taxable year (2009 or 2010) in which the new home is purchased.
California has allocated $100,000,000 for this tax credit. Buyers must apply for the credit within seven calendar days after the purchase/close of escrow. Applications will be reviewed and credit allocations will be made on a first-come, first-served basis. Once the $100,000,000 has been allocated, the tax credit will no longer be available.
A qualified principal residence is defined as a single-family residence, whether detached or attached, that has never been occupied and is purchased to be the principal residence of the taxpayer for a minimum of 2 years and is eligible for the property tax homeowner’s exemption.
What is an acceptable property type? Any of the following can qualify if it is a principal residence and is subject to property tax, whether real or personal property: a single family residence, a condominium, a unit in a co-op, a houseboat, a manufactured home, or a mobile home. (Note: A home constructed by the owner/taxpayer is not eligible for the New Home Tax Credit because the home has not been “purchased.” )
Who is a qualified buyer? Any taxpayer who purchases a qualified principal residence.
For additional info and the details about how to apply for the credit (timing, forms, fax number, etc.), please click here and consult your tax professional.
Note: Thank you for Steve Kenilvort & Elly Carleton with First Capital for helping break down this tax credit.
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Beverly Hills Homes & Condos are STILL Selling
March 4th, 2009 Categories: Beverly Hills - BHPO, For Buyers, For Sellers, Real Estate, Real Estate News
A quick update about our Beverly Hills real estate market… it’s not ALL doom and gloom out there! Though the properties may not be getting snatched up at the clip that they were in 2007, homes and condos in Beverly Hills are still selling and savvy buyers right now are doing very well. Currently there are 22 properties in escrow (4 in the Beverly Hills Flats) and we’ve had 50 sales since September 2008, in all price ranges from an $8,000,000 spectacular Trousdale home (closed mid-February) to a 2-bedroom condo selling for $510,000.
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