Are You a First-Time Santa Cruz Home Buyer?

Posted by Lauren Spencer on Monday, July 6th, 2009 at 8:27am.

Most people are familiar with the new stimulus plan that helps many get tax rebates for buying a home. The incentive is centered on first-time home buyers and a lot of people automatically assume they aren't eligible because they have owned a home in the past. This incentive shouldn't be dismissed so quickly. It is worth as much as $8,000 during the calendar year of 2009 and is a great reason to consider entering or re-entering the Santa Cruz home buying market. Yes, that's right "re-entering" the market.

Three Year Rule

If you have not owned a Santa Cruz home in the past three years, for tax purposes you are considered a first-time home buyer and are still eligible for the tax credit. This, however, includes you and your spouse if you are married so neither of you can have purchased a home in the last three years.

Principle Residence Rule

Even if you have owned a home in the last couple of years, if it has not been your primary residence, you may still be eligible for the tax break. This means that if you own property that you use as rental or other investment real estate such as flipping or reselling, you may still be able to get the tax incentive if you purchase a new home for you and your family to actually live in.

The new stimulus plan rules may be confusing but a qualified real estate professional can guide you through the possibilities.

If you are entitled to the tax rebate, 2009 should be the year you buy your new home. The tax rebate on a new home purchase is only good for the year.

If you purchased a Santa Cruz home any time during the 2009 calendar year and didn't know you might be entitled to the rebate, now is the time to check into it.

If you have any questions regarding the new stimulus tax breaks for first-time home buyers, please give me a call at 831.662.6522 or email me at lauren@laurenspencer.com   I'd be happy to help.

 

LINKS:

Stimulus plan

Tax credit

Primary residence

About Lauren Spencer

Award-Winning Santa Cruz REALTOR®

Lauren Spencer is your local real estate expert, specializing in Santa Cruz real estate and surrounding communities—this is where she lives, works, and plays too. Let her know your questions about the community and county and she'll be happy to fill you in on all you want to know! Lauren Spencer has consistently been voted best local REALTOR in Santa Cruz and is always happy to offer her advice and expertise. Call her at: 800.226.4717.

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