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can i get a loan against my tax refund
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Buying a Home and Getting First-Time Home Buyer Tax Credit

Shelter is one of the basic human needs. It can be frustrating for some not to be able to afford this basic need. Others cannot buy their own homes because they simply cannot afford it. Others have the means but would rather hold on to their money because of the economic uncertainties particularly when the mortgage sector is the primary reason why the economy is experiencing a problem. Even if a person gets a house through bank loan, he will still need to prepare quite a sizable amount of money, which will be used on other expenses that come along with the purchase.

But these factors that stop people from getting their own houses are actually caused by misinformation about the recent real estate landscape. Actually, house prices are decreasing now, and so is the mortgage interest rate. Add to this, the government also finds ways to help people attain their basic needs, like housing. To lessen the financial burden of purchasing a house, Congress has passed the American Recovery and Reinvestment Act of 2009. This Act, which is more commonly known as First-Time Home Buyer Tax Credit, grants a tax credit of $8,000 to people who have not bought any house properties from the last three years so you can ask yourself can i get a loan against my tax refund.

The 2009 credit act on income taxes can help in covering the initial expenses that come with buying a house property. You're not getting it right away but you can borrow from your parents, for instance, and pay them back once you get the refunds. Or, you can also take advantage of the first time house buyer tax credit to finance the renovation or improvements you will do on your newly acquired house.

The 2009 credit act on taxes is also a better offer from the government compared to the 2008 tax credit act because the credit amount is bigger. The 2009 credit is $500 more than that of last year. Both the 2008 and 2009 tax credit acts have the same end goal, which is to lower the tax amount the payers need to pay for the year the house is purchased. They are also both refundable - the credit will still be paid even if the individual does not owe any taxes or his/her tax amount is less than the credit amount. But the advantage of the 2009 tax credit over last year's is that it is considered a true tax credit. The 2008 tax credit is more of a deferred payment, which will be collected in the later years, while the 2009 tax credit is treated as an advance payment to your annual taxes.

You can specially benefit from this act if you belong to the lower income bracket. To take advantage of the first-time home buyer credit on taxes, your individual annual income should not be more than $75,000. For married couples, they should not exceed an annual income of $150,000. But nevertheless, this act does not exclude those in higher-income brackets. Those high-earning individuals or couples can still enjoy a fraction of the credit toward their taxes.