Revised legislation of the American Recovery and Reinvestment Act regarding Purchases on or after January 1, 2009

Amount of credit: Lesser of 10 percent of cost of home or maximum of $8,000

Eligible Property: Any single-family residence (including condos, townhouses) that will be used as a principal residence.

Refundable: Yes. Reduces (or can eliminate) income tax liability for the year of purchase. Any unused amount of tax credit refunded to purchaser.

Income Limit: Yes. Full amount of credit available for individuals with adjusted gross income of no more that $75,000 ($150,000 on a joint return.) Phases out above those caps ($95,000 and $170,000).

First-time Homebuyers Only: Yes. Purchaser (and purchaser's spouse) may not have owned a principal residence in 3 years previous to purchase.

Revenue Bond Financing: Purchasers who utilize revenue bond financing can use credit. Recapture: If home sold within three years of purchase, entire amount of credit is recaptured on sale. Applies only to homes purchased in 2009.

Termination: December 1, 2009

Effective Date: All revisions are effective as of January 1, 2009.