This is a Sponsored Post written by me on behalf of Coldwell Banker. All opinions are 100% mine.
I remember when I was purchasing my first home (back only 5 years ago this month) – I tried to take advantage of all the tax benefits I could in order to make it as much to my benefit as possible. I did get screwed over with my Mastercard program as they had me enrolled in the ‘First Homebuyers’ incentive program and I remember when I called about it… I had about $300 which I could have used, only to find out that it was only if I used BMO as my mortgage holder.. at the time, this was definitely not an option.
I did end up using my RRSP’s in order to make a down payment… I’ve touched on this before as I wasn’t 100% sure on how it worked, but now that I do, I’m really glad I took advantage. Of course I still wish I had that money in RRSP’s.. but what can you do? Perhaps my home is now worth more than the difference.. who knows.
I’ve been given the opportunity to write about the 2010 Homebuyer Tax Credits available to first homebuyers – but for our US visitors. So if you’re a Canadian – I’d suggest you take a look at the Home Buyers Plan which seems to be the only real incentive our government provides.
In the US, if you’re a first-time home buyer or you have not owned in the last three years, you can receive up to an $8,000 tax credit. What’s interesting however, is that you don’t have to BE a first time Homebuyer to take advantage.. Homeowners who have lived in a current home consecutively for 5 of the past 8 years can receive up to a $6,500 tax credit when purchasing a new home!
When you watch the following video, the ‘suit’ does a pretty good job in explaining how when someone sells a home – it creats $60,000 worth of new money into the economy, as well as creating a new job. Pretty sweet – but who really benefits? Well, that’s up to you to decide, as with most things.. if you want something.. do it.. if not, don’t! If you want to sell your home.. these are just a few things to keep in mind, it’s not a terrible thing for sure!
A few other points of interest:
- There may be no future extensions, so all qualified homebuyers are urged to act and have a written, binding contract by April 30, 2010 (close by June 30, 2010.)
- Income limits are now $125,000 for singles, $225,000 for married couples with a $20,000 phase-out of the credit for both.
In any case, I would highly suggest if you’re going to make a big purchase such as this or even if your’e thinking about it.. do your research, and see what you may qualify for. Every little bit helps!
