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The government is trying to greatly improve the tax credit that was offered last year and that is in place now.  Right now you have to be a first time buyer or have not owned a home in three years to get a $7500 credit that has to be repaid over 15 years.  If the $15,000 credit is passed and signed into law, anyone (not just first-timers) who buys a home as their principal residence in the year following the bill’s passage would get a $15,000 credit that does not have to be paid back as long as they don’t sell the home within 2 years!!  This would be a real incentive if the bill becomes law.  Here is more from our Realtor Association (RANWC) newsletter.  We’ll keep you posted….

Last evening the United States Senate unanimously passed a bipartisan amendment, offered by REALTOR® Champions, Senators Johnny Isakson (R-GA) and Joe Lieberman (ID-CT) to the Economic Stimulus Bill creating a $15,000 tax credit to individuals who purchase a home in the next year.
 
Specifically, the Isakson-Lieberman amendment to the pending economic stimulus bill would provide a direct tax credit to any homebuyer who purchases any home. The amount of the tax credit would be $15,000 or 10 percent of the purchase price, whichever is less. Purchases must be made within one year
of the legislation’s enactment, and the tax credit would not have to be repaid.
 
The amendment would allow taxpayers to claim the credit on their 2008 income tax return. It also seeks to prevent misuse by only allowing purchases of a principle residence and by recapturing the credit if the home is sold within two years of purchase. The amendment would sunset the current $7,500
housing tax credit on the date of enactment.
  
While the final details of the Stimulus Bill are still being debated, this amendment represents a tremendous step forward in NAR’s efforts to stabilize housing markets around the nation.  Because of the efforts of REALTORS®, we expect the final Economic Stimulus Bill will contain several major
housing provisions.  We will continue to update you as the bill progresses through the legislative process.