Congressman Yarmuth Announces New Federal Assistance Available for Potential Homebuyers

Louisville, KY – November 16, 2009 – (RealEstateRama) — Congressman John Yarmuth (KY-3) was joined by Louisville Realtors, representatives from the Home Builders Association of Louisville, and local homeowners and recent homebuyers to announce that more Louisvillians than ever are eligible for a homebuyer’s tax credit.

“The first-time homebuyer credit included in the Recovery Act has already helped hundreds of Louisville families fulfill the dream of homeownership and given a much-needed boost to the local housing market,” said Congressman Yarmuth. “Congress extended the credit last week, making it easier for sellers to find a buyer and for buyers to afford the home they want.”

Last Friday, President Obama signed legislation extending the deadline for first-time homebuyers to qualify for an $8,000 tax credit from December 1, 2009 to April 1, 2010. First-time buyers are also eligible for credits of $6,000 and $4,000 until December 2010.

For the announcement, Congressman Yarmuth was joined by Ms. Jordan Powell, a recent college graduate who moved to Louisville and used the credit to buy her first home, and Dana and Lelend Hulbert, who sold their home recently and are now eligible for a new tax credit thanks to the legislation.

Also joining the Congressman were Richard Miles, President of the Louisville Home Builders Association, Louise Miller, Vice President of the Greater Louisville Association of Realtors, Patricia Edison, Regional Director of the Kentucky Association of Realtors; and Mark Schaffer, Principal Broker for Homestead Realty.

The legislation – passed in Congress last week with the support of Congressman Yarmuth – also increases maximum income caps for buyers and expands eligibility for credits to existing homeowners.

Provisions include:

• Maximum income caps for qualifying for the first-time homebuyer’s credit have increased from $150,000 to $225,000 for families and $75,000 to $125,000 for individuals, making thousands more Louisvillians eligible.

• Those looking to move into a new home that have lived in their current residence for five or more years can qualify for a credit of $6,500.

• Members of the Armed Services deployed overseas may qualify for First-time buyer credits until April 31, 2011, so they can take advantage of the credit when they return.

The First-Time homebuyer credit was first passed in February as part of the American Recovery and Reinvestment Act. So far, that credit has helped over 1.4 million households nationwide and more than 19,000 in Kentucky, the majority of which have incomes below $50,000.

In recent months, home sales in Louisville have increased significantly, including a 26 percent increase in July, a 12 percent increase in August, and a 15 percent increase in September, when compared to the same period of time in 2008.

The extension and expansion of the credit announced today were signed into law Friday as part of H.R. 3548, the Worker, Homeownership and Business Assistance Act of 2009.

For more information, visit: http://www.irs.gov/newsroom/article/0,,id=204671,00.html