California New House Tax Credit

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More incentive to buy a new home in California. This one is literally for a new house though. The legislature approved $100M dollars to go towards a tax credit for the new construction. It is state tax credit of 5% of the new home price to the maximum of $10,000. And to think all the squabbling over a budget might actually end up helping me.

This started March 1, 2009 and will end one year from now though I suspect the money will run dry before the date does. The credit will be given in equal amounts over a 3 year period. Other things of note:

• there are no maximum income requirements
• you do not have to be a first time home buyer
• it needs to be your primary residence for at least 2 years

State of California Franchise Tax Board link to the program:
http://www.ftb.ca.gov/individuals/New_Home_Credit.shtml

State of California Franchise Tax Board Application:
http://www.ftb.ca.gov/forms/misc/3528A.pdf

Great info on the new California Home Buyers Tax Credit:
http://www.newhomessection.com/blog/10000-tax-credit-for-home-buyers-in-california/2009/02/21/