$8,000 First Time Home Buyer Tax Credit Extended into 2011 for Military Families

Those who qualify:

• Military Service Members
• Foreign Service Employees
• Intelligence Community Personnel

Facts:

• Must be under contract by April 30, 2011
• Must close the sale by June 30, 2011
• Must serve 90 days outside the U.S. between January 1, 2009 & April 30, 2010.
• Extends the benefit to spouses of a qualifying person.

Many people are unaware that the $8,000.00 credit under the Homebuyer's Assistance Act was extended and an additional year added for military service members, foreign service employees and people in the intelligence community. The reason behind the law is that people serving abroad will not necessarily have an opportunity to search for a house in a timely manner and should not be denied credit due to their service to the nation.

Such qualifying individuals have until April 30, 2011 to enter into a binding contract and must complete the sale by June 30, 2011. To qualify, one must be in the military, foreign or intelligence services and serve for 90 days outside the U.S. between January 1, 2009 and April 30, 2010. The law extends the benefit to spouses of a qualifying person. The new law also waives the repayment of the credit if the service member sells the house within 3 years due to official extended duty.