THIS IS AN IMPORTANT UPDATE TO RESIDE DAILY BITE 012.
Hello everybody and welcome to the Reside Daily Bite; My name is David Doucette and today I want to talk to you about what I talked to you yesterday and the tax credit available specifically for first-time home buyers.
Yesterday, I’ve made very clear that it is not possible to qualify for both the Federal tax credit and the California tax credit at the same time, and I was mistaken. You actually can, in a very small window, and I’m going to explain that right now.
To qualify for the Federal tax credit, we know that we have to be under contract by April 30; and to qualify for the California tax credit, we need to close escrow on or after May 1.
So what that means is, if we get into contract within the next 30 days (essentially in April) and we close on or after May 1 escrow, we may qualify for both the Federal tax credit of $8,000 and the State tax credit of $10,000 -that’s potentially an $18,000 tax credit that may be available to us.
So, I want to clarify that from yesterday. Again, if you get in this window, you get a property under contract by April 30; you may qualify for both tax credits. That’s a really big deal and I think a good incentive for some of the fence sitters out there. By all means, consult your CPA or your tax attorney to find out if these programs apply to your specific needs.
My name is David Doucette, thank you for watching the Reside Daily Bite.