Dan Barnard-2009 President of home builders association of St. Louis & Eastern Missouri Wrote a column in the St.louis Post-Dispatch The week of April 5,2009.

New home buyers have something to look forward to, with some credit due to the american recovery and reinvestment act of2009 recently being signed into law, as part of the economic stimulus measures, the legislation created a homebuyers tax credit that is bigger and better than the previous credit that was implemented in July, 2008. The website www.federalhousingtaxcredit.com explains in detail the provisions of the new tax credit. We are seeing significant activity in both the resale and new-home market as first-time buyers take advantage of the credit coupled with record-low mortgage interest rates. In a nutshell, it.

Provides a tax credit equal to 10 percent of the sale price of the home,up to an $8,000 maximum and is a true tax credit. It does not need to be rpaid unless the homeowner sells the home within three years of the purchase. and in Missouri, the Missouri housing development commission has developed a plan to make $6,750 of the tax credit available immediately for down payment! Learn more at www.mhdc.com under Homeownership.

Can only be used with the purchase of a home that will be the buyers principal residence. It cannot be claimed for the purchase of a vaction home or property to be used as a rental.

Is available to first-time homebuyers only with a modified adjusted gross income less than$95,000 for a single tax payers or $170,000 for married filers. A first time home Buyer is defined as someone who has not owned a principal residence for three years or more.

Applies to homes purchased by qualified buyers between Jan 1 and Nov30,2009. The purchase date is the date when closing occurs and the title transfers.

Allows unmarried joint purchasers to allocate the credit amount to amy Buyer who qualifies as a first-time buyer. Also, a parent who jointly purchases a home with a child can allocate the credit to the child. The same goes for two unmarried people one who owns a home and the other who does not, who purchase a home together befor getting married can allocate the credit to the taxpayer who qualifies as a first-time Homebuyer.This new tax credit provides an uprecedented opportunity for people looking to Buy their first home. Not only will they riceive an $8,000 tax credit, they also will be taking advantage of record-low interest rates, a large selection of homes to choose from and competitive home prices.

House hunters will also find that many builders have inventory that is move-in ready, and may offer upgrades or other incentives to seal the deal. Also, owners of existing homes who are looking to trade-up or relocate are ready to bargain.