FAQ's about the $8,000 First-Time Homebuyer Tax Credit.
Here are some answers:
What is the definition of a first-time home buyer? You are considered a first-time homebuyer if:- You purchased your main home located in the United States after April 8, 2008, and before December 1, 2009.- You (and your spouse if married) did not own any other main home during the 3-year period ending on the date of purchase.
Do I have to pay the homebuyer tax credit back? How much is the credit for? $7,500 or $8,000?It depends. For homes purchased in 2008, the $7,500 credit (or 10% of purchase price, if less) operates much like an interest-free loan. You generally can repay it equal installments over a 15-year period unless you move out or sell the home earlier than that. The maximum credit is reduced to $3,750 for married individuals filing separately.
For homes purchased in 2009, you must repay the $8,000 credit (or 10% of purchase price, if less) only if the home ceases to be your main home within the 36-month period beginning on the purchase date. The maximum credit is reduced to $4,000 for married individuals filing separately.
What is the definition of main home? Does a condo count? How about an RV? Your main home is the one you live in most of the time. It can be a house, houseboat, housetrailer, cooperative apartment, condominium, or other type of residence.
What if I don’t owe or pay any income taxes? This is a refundable tax credit, which means that even if you don’t owe any taxes, you will receive the credit amount via check or other means. For example, if before this credit you had a tax liability of $5,000 and withheld $4,000, you would owe the IRS $1,000. If you qualify and claim a $8,000 tax credit, you would now receive $7,000.
What are the income restrictions? The amount of the credit begins to gradually phase out for taxpayers whose adjusted gross income is more than $75,000, or $150,000 for joint filers. It is completely phased out when your AGI is $90,000, or $170,000 for joint filers.
Can I just buy a home from a relative and pocket the $8,000?You don’t qualify for the tax credit if you bought the house from a “related person.” According to the IRS, a related person includes:
Your spouse, ancestors (parents, grandparents, etc.), or lineal descendants (children, grandchildren, etc.).
A corporation in which you directly or indirectly own more than 50% in value of the outstanding stock of the corporation.
A partnership in which you directly or indirectly own more than 50% of the capital interest or profits interest.
How do they determine the purchase date as applied to the cutoff dates? If you bought an existing home, the date of purchase is your closing date, not the day that you sign a purchase contract or enter escrow. If you constructed a new home, you are treated as having purchased it on the date you first occupied it. (Seems like some wiggle-room here.)
What IRS Form Do I Have To Fill Out? Can I File For 2008 or 2009 Tax Years? That would be the new revised version of IRS Form 5405 (where most of this information is from), which you fill out and attach to Form 1040. Any updated tax preparation software should be able to handle this. If you already bought your house in 2009, you can file either on your 2008 or 2009 tax returns. (Why not get it now?)
What if two unmarried people buy a house together? If two or more unmarried individuals buy a main home, they can allocate the credit among the individual owners using any “reasonable” method. The total amount allocated cannot exceed the smaller of $7,500 ($8,000 if you purchased your home in 2009) or 10% of the purchase price. A “reasonable” method is any method that does not allocate all or a part of the credit to a co-owner who is not eligible to claim that part of the credit.
I am not a U.S. citizen. Can I still claim the tax credit? If you are a resident alien according to IRS Pub 519 and satisfy all the other requirements, then yes you can claim the credit. Nonresident aliens are not eligible.
Thursday, May 14, 2009
Sunday, April 12, 2009
New Listing! Lake Chateau, Hermitage
CHECK OUT OUR NEW LISTING AT 127 LAKE CHATEAU! LISTED AT $139,900, THIS 2 BR/2 BA HOME HAS TONS OF UPGRADES. CALL US TODAY FOR DETAILS AND TO SCHEDULE A SHOWING!
BILL AND CYNDY BERKLEY
615-376-4500
Saturday, September 13, 2008
Nashville Top Relocation
Nashville Climbs to the Top of America’s Hottest Cities
Expansion Management, a monthly business magazine for executives of companies actively looking for a place to expand or relocate their facilities within the next one to three years, has released its 7th annual "America's 50 Hottest Cities" ranking, to be published in its upcoming January 2005 issue.
Topping this year's list is the Nashville metro area, followed by Atlanta, Kansas City, Charlotte and Indianapolis. Rounding out the Top 10 are Phoenix, Albuquerque, Oklahoma City, Dallas-Fort Worth and Jacksonville.
Last year, Atlanta was ranked No. 1 and Nashville was ranked No. 2.
Texas has five metros on the list, while South Carolina had four cities. Five states — Alabama, Florida, New York, Virginia and Tennessee — each had three cities.
“Unlike the other rankings we do each year, which are based upon hard economic and demographic data, the Hot Cities poll attempts to measure the perceptions of professional site location consultants, whose business it is to help companies select the best locations for future facility expansions,” said Bill King, chief editor of Expansion Management.
In order to find out which are today's hottest cities for business expansion, Expansion Management surveyed more than 80 of the industry's most prominent site location consultants in order to find out which cities their clients find most attractive when it comes to actually selecting an expansion or relocation site — and why these cities are more appealing than the others.
The consultants, whose identities remain confidential, were asked to list their top city choices for relocating and expanding manufacturing companies, taking into consideration such factors as the business climate, work force quality, operating costs, incentive programs, and the ease of working with local political and economic development officials.
"Some cities are well-prepared to attract and retain businesses," said Ken Krizner, managing editor of Expansion Management. "They have logistical advantages, a high quality of life, available work force, and a favorable tax and political climate. These 50 Hottest Cities have a built-in advantage when companies look to site a new manufacturing or distribution facility, or headquarters operation."
Expansion Management is mailed to more than 45,000 CEOs, vice presidents, directors and other officers of companies that have indicated they are considering expanding into new geographic areas.
Expansion Management is a monthly magazine published by Penton Media (www.penton.com), a diversified business-to-business media company that provides high-quality content and integrated marketing solutions to several industries, including: economic development/government/compliance; enterprise IT/business technology; aviation; design/engineering; electronics; food/retail; hospitality; manufacturing; mechanical systems/construction; health/nutrition and natural and organic products; and supply chain. Founded in 1892, Penton produces market-focused magazines, trade shows, conferences and online media, and provides a broad range of custom media and direct marketing solutions for business-to-business customers worldwide.
America’s 50 Hottest Cities (2005):
1. Nashville, Tenn.
2. Atlanta, Ga.
3. Kansas City, Mo.-Kan.
4. Charlotte-Gastonia-Rock Hill, N.C.-S.C. (tie)
Indianapolis, Ind. (tie)
6. Phoenix-Mesa, Ariz.
7. Albuquerque, N.M.
8. Oklahoma City, Okla.
9. Dallas-Fort Worth, Texas
10. Jacksonville, Fla.
11. San Antonio, Texas
12. Seattle-Bellevue-Everett, Wash.
13. Richmond-Petersburg, Va.
14. Knoxville, Tenn.
15. Birmingham, Ala.
16. Memphis, Tenn.-Ark.-Miss.
17. Raleigh-Durham-Chapel Hill, N.C.
18. Colorado Springs, Colo.
19. Tulsa, Okla.
20. Norfolk-Virginia Beach-Newport News, Va.-N.C. 21. Columbia, S.C.
22. Tucson, Ariz.
23. Pittsburgh, Pa.
24. Reno, Nev.
25. Greenville-Spartanburg-Anderson, S.C.
26. Des Moines, Iowa (tie)
Salt Lake City-Ogden, Utah (tie)
28. Hattiesburg, Miss.
29. Chicago, Ill. (tie)
Roanoke, Va. (tie)
31. Huntsville, Ala.
32. Longview-Marshall, Texas
33. Cincinnati, Ohio-Ky.-Ind.
34. Houston, Texas
35. Cleveland-Lorain-Elyria, Ohio
36. Augusta-Aiken, Ga.-S.C.
37. Richland-Kennewick-Pasco, Wash.
38. Montgomery, Ala.
39. Tampa-St. Petersburg-Clearwater, Fla.
40. Baltimore, Md.
41. Charleston-North Charleston, S.C.
42. Syracuse, N.Y.
43. Austin-San Marcos, Texas
44. Buffalo-Niagara Falls, N.Y. (tie)
Sumter, S.C. (tie)
46. Omaha, Neb.-Iowa
47. Lexington, Ky.
48. Little Rock-North Little Rock, Ark.
49. Miami-Dade, Fla.
50. Rochester, N.Y.
Expansion Management, a monthly business magazine for executives of companies actively looking for a place to expand or relocate their facilities within the next one to three years, has released its 7th annual "America's 50 Hottest Cities" ranking, to be published in its upcoming January 2005 issue.
Topping this year's list is the Nashville metro area, followed by Atlanta, Kansas City, Charlotte and Indianapolis. Rounding out the Top 10 are Phoenix, Albuquerque, Oklahoma City, Dallas-Fort Worth and Jacksonville.
Last year, Atlanta was ranked No. 1 and Nashville was ranked No. 2.
Texas has five metros on the list, while South Carolina had four cities. Five states — Alabama, Florida, New York, Virginia and Tennessee — each had three cities.
“Unlike the other rankings we do each year, which are based upon hard economic and demographic data, the Hot Cities poll attempts to measure the perceptions of professional site location consultants, whose business it is to help companies select the best locations for future facility expansions,” said Bill King, chief editor of Expansion Management.
In order to find out which are today's hottest cities for business expansion, Expansion Management surveyed more than 80 of the industry's most prominent site location consultants in order to find out which cities their clients find most attractive when it comes to actually selecting an expansion or relocation site — and why these cities are more appealing than the others.
The consultants, whose identities remain confidential, were asked to list their top city choices for relocating and expanding manufacturing companies, taking into consideration such factors as the business climate, work force quality, operating costs, incentive programs, and the ease of working with local political and economic development officials.
"Some cities are well-prepared to attract and retain businesses," said Ken Krizner, managing editor of Expansion Management. "They have logistical advantages, a high quality of life, available work force, and a favorable tax and political climate. These 50 Hottest Cities have a built-in advantage when companies look to site a new manufacturing or distribution facility, or headquarters operation."
Expansion Management is mailed to more than 45,000 CEOs, vice presidents, directors and other officers of companies that have indicated they are considering expanding into new geographic areas.
Expansion Management is a monthly magazine published by Penton Media (www.penton.com), a diversified business-to-business media company that provides high-quality content and integrated marketing solutions to several industries, including: economic development/government/compliance; enterprise IT/business technology; aviation; design/engineering; electronics; food/retail; hospitality; manufacturing; mechanical systems/construction; health/nutrition and natural and organic products; and supply chain. Founded in 1892, Penton produces market-focused magazines, trade shows, conferences and online media, and provides a broad range of custom media and direct marketing solutions for business-to-business customers worldwide.
America’s 50 Hottest Cities (2005):
1. Nashville, Tenn.
2. Atlanta, Ga.
3. Kansas City, Mo.-Kan.
4. Charlotte-Gastonia-Rock Hill, N.C.-S.C. (tie)
Indianapolis, Ind. (tie)
6. Phoenix-Mesa, Ariz.
7. Albuquerque, N.M.
8. Oklahoma City, Okla.
9. Dallas-Fort Worth, Texas
10. Jacksonville, Fla.
11. San Antonio, Texas
12. Seattle-Bellevue-Everett, Wash.
13. Richmond-Petersburg, Va.
14. Knoxville, Tenn.
15. Birmingham, Ala.
16. Memphis, Tenn.-Ark.-Miss.
17. Raleigh-Durham-Chapel Hill, N.C.
18. Colorado Springs, Colo.
19. Tulsa, Okla.
20. Norfolk-Virginia Beach-Newport News, Va.-N.C. 21. Columbia, S.C.
22. Tucson, Ariz.
23. Pittsburgh, Pa.
24. Reno, Nev.
25. Greenville-Spartanburg-Anderson, S.C.
26. Des Moines, Iowa (tie)
Salt Lake City-Ogden, Utah (tie)
28. Hattiesburg, Miss.
29. Chicago, Ill. (tie)
Roanoke, Va. (tie)
31. Huntsville, Ala.
32. Longview-Marshall, Texas
33. Cincinnati, Ohio-Ky.-Ind.
34. Houston, Texas
35. Cleveland-Lorain-Elyria, Ohio
36. Augusta-Aiken, Ga.-S.C.
37. Richland-Kennewick-Pasco, Wash.
38. Montgomery, Ala.
39. Tampa-St. Petersburg-Clearwater, Fla.
40. Baltimore, Md.
41. Charleston-North Charleston, S.C.
42. Syracuse, N.Y.
43. Austin-San Marcos, Texas
44. Buffalo-Niagara Falls, N.Y. (tie)
Sumter, S.C. (tie)
46. Omaha, Neb.-Iowa
47. Lexington, Ky.
48. Little Rock-North Little Rock, Ark.
49. Miami-Dade, Fla.
50. Rochester, N.Y.
Saturday, August 30, 2008
NEW LISTING IN THE HEART OF GREEN HILLS!
GIVE US A CALL TODAY TO SEE THIS BEAUTIFUL CONDO IN THE HEART OF GREEN HILLS! WALKING DISTANCE TO THE NEW HILL CENTER AND OTHER SHOPPING, FOOD AND FUN! THIS CONDO FEATURES FABULOUS UPGRADES INCLUDING GRANITE, HARDWOODS AND A PRIVATE PATIO.
Thursday, July 17, 2008
Thursday, June 26, 2008
First Offer
Evaluating the First Offer
Your dining room table is the scene of high drama. Your home has been listed for sale for six weeks, and finally, the first offer has come in. You are meeting with the agents, and are very excited until they mention the price--it is a lot less than you expected.
Before you feel offended, however, remember that the first offer is often just the beginning of a negotiating process. Your agent can help you weigh the good and bad points, evaluating the price in relationship to the terms or conditions of the sale. Sometimes an offer with a low price can look quite attractive once you understand all of the terms.
If you are willing to make some compromises, the buyers may accept a counter offer that will give you more money. A lower price from highly qualified buyers may be better than one from people who may have difficulties with financing. Keep in mind that your first negotiated price is often your best price!
Your dining room table is the scene of high drama. Your home has been listed for sale for six weeks, and finally, the first offer has come in. You are meeting with the agents, and are very excited until they mention the price--it is a lot less than you expected.
Before you feel offended, however, remember that the first offer is often just the beginning of a negotiating process. Your agent can help you weigh the good and bad points, evaluating the price in relationship to the terms or conditions of the sale. Sometimes an offer with a low price can look quite attractive once you understand all of the terms.
If you are willing to make some compromises, the buyers may accept a counter offer that will give you more money. A lower price from highly qualified buyers may be better than one from people who may have difficulties with financing. Keep in mind that your first negotiated price is often your best price!
Thursday, June 5, 2008
Location, Location, Location
The Benefits of a Good Location
One primary and irreplaceable feature that influences a home's appeal is its location. Desirable homes are often situated in beautiful geographical settings, with convenient access to jobs, shops and transportation. In preferred locations, homes hold their value over time, even as real estate markets in other, less popular vicinities show evidence of abating.
Some of the most valuable and exquisite homes in America are located in areas that are associated with breathtaking views, fresh air, and enjoyable leisure activities. In such locations, property values tend to remain at a premium because of the fact that there is only a limited amount of precious land, and there is easy access to the pleasures and necessities of life. Existing homes that are well maintained and situated in exceptional natural surroundings often sell very quickly, because people eager to move into the area keep an eye on the listings. There is always competition for homes where the local supply does not accommodate the public demand.
Give us a call today if we can help you find that PERFECT location.
One primary and irreplaceable feature that influences a home's appeal is its location. Desirable homes are often situated in beautiful geographical settings, with convenient access to jobs, shops and transportation. In preferred locations, homes hold their value over time, even as real estate markets in other, less popular vicinities show evidence of abating.
Some of the most valuable and exquisite homes in America are located in areas that are associated with breathtaking views, fresh air, and enjoyable leisure activities. In such locations, property values tend to remain at a premium because of the fact that there is only a limited amount of precious land, and there is easy access to the pleasures and necessities of life. Existing homes that are well maintained and situated in exceptional natural surroundings often sell very quickly, because people eager to move into the area keep an eye on the listings. There is always competition for homes where the local supply does not accommodate the public demand.
Give us a call today if we can help you find that PERFECT location.
The Homes Around Nashville Team
Realty Executives Fine Homes
615-376-4500
615-566-3712
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