Google Gets in to the Housing Business

Google is now expanding its broad reach to the world of real estate financing.   According to TechCrunch.com, Google will be working with US Bank to create an $86 million low-income housing tax credit.  The credit will be used for the construction and operation of 480 affordable rental housing units for low-income families and seniors in a variety of communities throughout the West and Midwest.  Read more about it at TechCrunch.

Federal Tax Credit Extended for those Already in Contract

The $8,000 Federal Home Buyer Tax Credit (which expired on June 30th) has been extended.  Home buyers who signed a contract or a purchase agreement to buy a home by April 30, 2010 now officially have until September 30, 2010 to close the deal and still qualify for the credit.  President Obama signed legislation into law that extends the closing deadline, which is welcome news for as many as 180,000 home buyers of mostly short-sale and foreclosure properties which take longer to close escrow than regular sales.

Looking for Your 18k in Tax Credits?

If you plan on buying a home anytime soon, you may want to brush up on the two home buyer tax credits that are available.  It could mean $18,000 more in your pocket.

For more details, check out this nifty Tax Credit Chart

Governor Signs Another Home Tax Credit Bill

Governor Schwarzenegger today signed AB 183 providing $200 million for home buyer tax credits. The bill allocates $100 million for qualified first-time home buyers who purchase existing homes and $100 million for purchasers of new, or previously unoccupied, homes.

Eligible taxpayers who close escrow on qualified principal residences between May 1, 2010 and December, 31, 2010, or who close escrow on a qualified principal residence on and after December 31, 2010 and before August 1, 2011, pursuant to an enforceable contract executed on or before December 31, 2010, will be able to take the allowed tax credit.

This credit is equal to the lesser of 5 percent of the purchase price or $10,000, taken in equal installments over three consecutive years. Under the bill, purchasers will be required to live in the home as their principal residence for at least two years or forfeit the credit (i.e. repay it to the state). Buyers also must be at least 18 years old and be unrelated to the seller. First-time buyers are defined as those who have not owned a home in the past three years.

More Details on AB 183