More Relief in Sight for PA Homebuyers

November 6, 2009

LEMOYNE, Pa., Nov. 6 /PRNewswire-USNewswire/ -- The PA Association of REALTORS(R) (PAR) today announced that the extension of the first-time homebuyer tax credit and the expansion to current homeowners will be available to a greater number Pennsylvanians who want to purchase homes.

President Barack Obama signed The Worker, Homeownership and Business Assistance Act of 2009 into law today.

The new law extends the present $8,000 tax credit for first-time homebuyers through April 30, 2010. To qualify as a first-time home buyer the purchaser or spouse may not have owned a residence during the three years prior to the purchase.

Current homeowners are eligible for a $6,500 tax credit through April 30, provided they have lived in the home they are selling, or have sold, as their principal residence for five consecutive years during the past eight years. Potential homebuyers need to have a binding contract on or before April 30 and will have until June 30 to close the transaction.

"I believe that we will continue to see an increase in our marketplace, both in the number of sales and stabilization of our marketplace through this tax credit," said PAR President Greg Herb.

Income limits for eligible homebuyers have been expanded to $125,000 for single buyers and $225,000 for couples. The purchase price of the home cannot exceed $800,000. To help guard against fraud, buyers are required to attach documentation of purchase to their tax return.

"This has been an important priority to REALTORS(R) to help more consumers realize the American dream of homeownership," Herb added.

The Pennsylvania Association of REALTORS(R) is a trade/professional association that serves as the "voice for real estate(R)" in the Commonwealth of Pennsylvania for its more than 30,000 members.

SOURCE Pennsylvania Association of REALTORS