Time running out to get $8,000 tax credit

By Brandi Hodges - bio | email

JONESBORO, AR (KAIT) - What could you do with an extra $8,000?  Many in Region 8 are now facing that question!  A tax credit offered for first time homeowners is getting buyers in the door, but time is running out.

If you're in the market for a new home either for the first time or if you haven't owned for three years, you could be eligible for a tax rebate.

There are houses for sell in every community in Region 8 and many real estate agents are busier now than they've been in years!

"$8,000 is a lot of money," said Realtor Debbie Finley.

"It was something I was interested in anyway.  It was something I was considering," said Chris Barnes.

Potential home buyer Chris Barnes said $8,000 is a great incentive!

"That tax credit definitely does help because it gives me that security to know I'm not spending all my money.  I'm not depleting my savings," said Barnes.

Barnes said what he does with the tax credit will depend on the type of loan he gets.

"If I get something that is no down payment I will probably take that money and invest it into the property.  If I do have to do a down payment and I don't get the closing costs paid by the seller then I will put that back into my savings account," said Barnes.

Realtor Debbie Finley said this tax credit is not only bringing people into her door, it is helping get them a door of their own!

"Our congressmen and senators should be focused on stimulating our real estate market. This is a stimulator.  This is something that really, really works," said Finley.

Finley said she would like to see this tax credit extended and not just by time, but by the number eligible.

Once you find a home you have to go through an inspection, appraisal of the property, paperwork and other small steps.  All of these things could take a month or longer to close on a home and the deadline is creeping closer.

"If you think there's any chance you're going to want to buy a home this year do it now and take advantage of that tax credit," said Finley.

If you qualify and purchase a house between January 1st and December 1st you can get your tax credit one of two ways:  you can file an addendum to your 2008 tax return and get the tax credit or you can file it with your 2009 tax return.

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