first time buyer tax credit has income limits

 The local Realtor Board, Contra Costa Board of Realtors fought hard to get this great homeownership tool as part of the the Housing and Economic Recovery Act  HR3221 that passed on July 30, 2008.

It’s a single credit worth up to $7500 that has to be taken in a single tax year.  The actual credit amount is a percentage of the home purchase with a maximum of $7500.  Income limits are $75,000 for individuals and $150,000 for households.  If an individual makes more that $75,000 but less than $95,000 there is still a credit but it’s reduced.  Talk to your tax preparer for the actual amount.