$6,500 Homebuyers Credit Stimulus Details

Similar to the $8,000 first-time homebuyers tax credit that was offered as part of the stimulus packages of 2008 and 2009, a $6,5000 tax credit has now been extended to homeowners who have lived in their primary residences at least five years.

This is a tax credit, not a deduction (meaning homeowners will get 100% of the money), and it’s designed to help people make a lateral home move, a move up, or a move down.

To qualify for the $6,500 credit, homebuyers must earn less than $125,000 per year ($225,000 for joint filers) and have owned their existing home for at least five years. They must put their next home under contract by April 30, 2010 and close on the loan by June 30, 2010.

This homebuyers tax credit is part of a $24 billion stimulus package implemented by the Obama administration in November 2009, a package that also included an extension of unemployment benefits and tax cuts for small businesses. 

Click here for more information on the $6,500 homebuyers tax credit or the $8,000 firsttime homebuyers tax credit.