As a first-time home buyer, learning how to start the process can be pretty scary – but knowing that there are advantages of buying your first home is hopefully incentive enough to get started. This year, in particular, there are a number of great perks for the first-time home buyer. So if you’re thinking about taking that step, here are some benefits you can take advantage of …
$8,000 Tax Credit
One of the major advantages of buying your first home in this period of time is the $8,000 tax credit that’s a part of the American Recovery and Reinvestment Act of 2009. Actually, the credit is up to $8,000 and represents 10 percent of your home’s purchase price – still not bad at all. The credit is for the single taxpayer making no more than $75,000, and the married couple making no more than $150,000. However, the best part about the credit is that it doesn’t have to be paid back. This is a huge incentive to anyone thinking about becoming a first-time home buyer.
Note: The credit only applies to those purchasing homes after Jan. 1 and Before Dec. 1 of 2009.
Mortgage Rates at All-Time Lows
Another huge benefit for the first-time home buyer is the fact that home prices have been dropping for several months and seem to be holding steady. Unfortunately, dropping prices is a side-effect of the onslaught of foreclosures. As a result of reduced property values, homeowners have had no choice but to sell at lowered prices just to get rid of their homes, while others have taken on short sells just to avoid foreclosure. This means you can take advantage of the deals.
Being a first-time home buyer in 2009 definitely comes with its perks. So if you’re looking and ready to enjoy some of the advantages of buying your first home, now’s the time to get in on the action.