The Obamarama continues...

President Obama has approved a bill for the Housing Tax Credit Expansion and Extension. Here's what it means:

The $8,000 First-Time Homebuyer Tax Credit is Extended!
• First-time home buyers receive $8000 tax credit if they sign a purchase contract by April 30, 2010 and close by June 30, 2010.

• The home purchased must be their primary residence

• Buyer cannot have owned a home during the past three years

• Tax credit is up to 10% of the home value (not to exceed $8,000)

• Annual income caps to qualify for the tax credit have increased $125K for single filers / $225K for joint filers.

• Partial tax credit for incomes up to $145K for single filers / $245 for joint filers.

PLUS New $6,500 Tax Credit for Current Home Owners Purchasing a Primary Residence

• Eligible home buyers must have lived in their current home for 5 consecutive years of the past 8 years.

• The new home does not have to cost more than the old home.

• Eligible for homes with purchase agreements signed between November 6, 2009 and April 30, 2010, and close by June 30, 2010

• Annual income caps to qualify for the full tax credit ($125K for single filers / $225K for joint filers). Partial tax credit can be granted for incomes up to $145K for single filers / $245 for joint filers.