$8k Tax Credit Under Stimulus Spurs Signs of Life for Real Estate Market 

On May 8, Congressman Andres announced the new tax credit provisions benefitting first-time home buyers and the recent indications that this legislation has begun to rebound the real estate market toward lasting growth. Under the American Recovery and Reinvestment Act of 2009 (ARRA), qualified first-time home buyers are authorized to receive an $8,000 tax credit on real estate purchases made before December 1, 2009. In the weeks following the ARRA's enactment, the real estate market started show signs of life by recovering massive January losses, largely due to an overwhelming response from first-time home buyers according to the National Association of Realtors.

In February of this year, existing home sales increased by over 5%, a boost that the real estate market has not seen since 2004. Critics of the ARRA have argued that the tax credit has triggered a lukewarm response among home buyers, citing a 3% drop in home sells from February to March. However, despite the recent ease in sales, market experts have found that first-time home buyers are purchasing at a record rate, accounting for over half of all real estate purchases since the President's recovery plan took effect.

Please feel free to contact Congressman Andrews' Haddon Heights office to learn more about the specific qualification guidelines of this provision and receive instructions on how to obtain this tax credit on recent and upcoming purchases. Congressman Andrews continues to support legislation like the American Recovery and Reinvestment Act that helps countless American's purchase their first home while working to steer our economy towards lasting recovery.

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