Sacramento Home Buyer Tax Credit YIPPEE!

IT’S OFFICIAL,  California Governor Schwarzenegger signed the Home Buyer Tax Credit!

YIPPEE!!

Yesterday, KCRA reported California has extended the home buyer tax credit.  There is $200 million dollars alloted for this bill which according to everything I have read, allows up to $10,000 or 5% of the sales price whichever is lower for 1st Time Home Buyers.  This 1st Time Home Buyer tax credit would run until the money runs out and includes new home subdivisions as well as those re-sale homes.

So, in other words, first come, first served.  This home buyer tax credit appears to be for First Time Home Buyers only and credit would be given over 3 equal payments within 3 tax paying years.

Since the Federal Tax Credit ends April 30th, this is good news for California home buyers. This 1st Time Home Buyer tax credit is set to start on May 1, 2010 until December 31, 2010.

For those looking to buy a new home from a new home subdivision, be sure to have a Realtor ® present with you otherwise the builder represents himself and you.  It doesn’t cost you to be represented.

Although KCRA announced this  it still needs Governor Schwarzenegger’s signature but he is expected to sign the new tax credit for CA home buyers.

More later…as the details become more clear.

You probably want to know why I feel elated when Education has been cut and current State employees are furlowed as well as unemployment at a record high of 13%.  I agree that the cuts are horrible but you need to look at what will bring in revenue and the more new homeowners there are, the more revenue will be generated.  Property taxes, trash, water, electrical, the local stores near the property sold, etc.  Homeowners bring money into the economy and back to the coffer of the State where it is once again dispersed. 

The home buyer tax credit will end up bringing in money for education and jobs so I say YIPPEE!