Are you confused about the tax credit available to you for buying a home this year?

The following is a cheat sheet on the criteria for using the federal tax credit. Please be sure to consult you tax preparer for more details.

1. The amount of the credit is 10% of the cost of the home to a maximum of $8,000. That pretty much covers most people in the Bay Area.
2. Any home purchased is eligible for the credit.
3. The credit is refundable. This means that you will receive a refund for any unused portion of the credit. For example, if your total tax liability is $5,000, then you will get the remainder of the credit as a refund.
4. There are income limits that apply to the credit. Individuals must have an adjusted gross income of less that $75,000. Couples must have and AGI of less than $150,000.
5. Buyers must not have owned a home within 36 months or the last three years of tax return information.
6. Buyers will not have to repay the credit as long as they own the home for at least three years.
7. The credit will be available until November 30, 2009.
8. This credit was effective on January 1, 2009.