The American Recovery and Reinvestment Act of 2009 has been extended and expanded! Qualified first time homebuyers are eligible for a tax credit up to $8000 and current homeowners are eligible for a $6500 credit. Contracts for the new home must be signed by April 30, 2010 and close the home by June 30, 2010. A first time homebuyer is someone who has not owned a home in the last three years.

The tax credit is limited to ten percent of the purchase price up to a maximum of $8000 for a single resident or a married couple filing jointly. You must live in this principal residence for three years or longer to avoid repayment. The taxpayer's Modified Adjusted Gross Income is limited to $75,000 for single taxpayers and $150,000 for married taxpayers. You must file Form 5405 with the IRS. Please call your sales associate, tax advisor or the main office for more details.