Many economists and real estate industry professionals are crediting the $8,000 first-time homebuyer tax credit with preventing the housing market from falling totally off the cliff in the face of massive foreclosure rates. But some folks may not be aware that current owners of homes can get in on the act too.
As long as you have owned your principal residence for five years out of the previous eight and you purchase another primary residence before April 30, 2010, you will receive a tax credit of $6,500 (for joint filers) after you sell it and buy another. You must close on your new home by July 1, 2010 and use it as your new primary home. The total cost of the home you buy must not exceed $800,000 and the income limit for eligibility stops at $225,000 for a married couple.
The $6,500 tax credit can cover many expenses, including a Scottish golf vacation that includes a round or two of golf at St. Andrews' Old Course.
Okay, the $6,500 tax credit may not seem like much motivation, but it is better than a sharp stick in the eye (or nine-iron to the face*). For one thing, it is equal to a year’s worth of dues for most good golf clubs in southern communities. It will cover fully the costs of a 10-day Scotland golf vacation for two, with airfare and a couple of rounds at St. Andrews Old Course included. Or you could outfit your new home with three really nice LCD HD TVs, including a 50-incher above the fireplace mantle in the family room.
I have spent part of today researching reasonably priced homes in golf communities in the Carolinas for one of our readers. Many nice homes are for sale in stable communities at prices that are the lowest I can recall in a decade. Whether you intend to take advantage of the tax credit or take your time deciding about your dream home on the course, contact me and we can explore what is available. There is no fee ever for this service and no obligation whatsoever.
* A friend sent me an email allegedly from a friend of a friend of a friend of Tiger Woods’ agent Mark Steinberg. In the note, the friend-a-few-times-removed indicates Steinberg admitted why the Woods family refused to be interviewed by the Florida state troopers in the wake of the star’s Thanksgiving night accident.
Woods’ face, according to the note, was so seriously injured by his wife’s surprise shot with a 9 iron that he required immediate cosmetic surgery. An accomplished doctor in Phoenix was chosen for the job, and the Woods team flew their fallen hero to Arizona for the surgery. With recuperation, the job required a few days. The Woods team hired a local Florida attorney to hold off the Florida state police, fearing that word would leak out about the attack by his wife.
Of course, the rest of us figured out the scenario immediately after hearing that the rear window of the Escalade was smashed, that Woods was driving hurriedly away without shoes on, that the tabloids had a story of alleged adultery and that Mrs. Woods had discovered an incriminating cell phone message. Perhaps the Woods team thought they could fool the state police, but the rest of us are too smart for that.
