Home Buyer Credits--
Well, by now I'm sure you've all heard of the Federal Home Buyer Tax Credit of up to a max of $8,000 when you buy a home. Well, although it's scheduled to end in just over a month, unless extended again, California has gone one step further. Yesterday, Gov. Schwarzenegger signed into law California's version of the credit. Usable on your California tax return, it allows a tax credit of up to $10,000 for first time home buyers. Homes, to be eligible, must be purchased between May 1, and December 31, 2010 and, in another group, between December 31, 2010 and August 1, 2011.
The total available for the program, $200 million, will be evenly divided between first time buyers and those who have previously lived in a home for two years. If a buyer takes advantage of the credit, they must remain in the home for at least two years. Those leaving early will be required to repay the credit to the state.