Spring 2010, Vol. 35, No. 1 features
Abstract: Over the past few years Congress has taken various approaches to stimulating the housing market and the overall economy. One stimulant has been in the form of tax credits for homebuyers. Initially, Congress provided a credit limited to first-time homebuyers. However, that credit was effectively a loan—up to $7,500—requiring full repayment. Subsequently the stimulus was enhanced to encompass repeat buyers, and the credit was increased to $8,000 with no repayment. The credit has now expired, but for homebuyers who took advantage it, the details of claiming the credit on tax filings remain. This article summarizes the qualifications for the credit.