$8,000 First-Time Buyer Tax Credit:

The $8,000 tax credit is for first-time home buyers only.  For the tax credit program, the IRS defines a first-time buyer as someone who has not owned a principal residence during the three-year period to the purchase.

The tax credit does not have to be repaid unless the home is sold or crease to be used as the buyer`s principal residence within three years after the initial purchase.

The tax credit applies only to homes priced at $800,00 or less.

The tax credit now applies to sales occuring on or after January 1, 2009 and on or before April 30, 2010.  However, in cases where a binding sales contract is signed by April 30, 2010, a home purchase completed by June 30, 2010 will qualify.

From homes purchased after November 6, 2009 and on or before April 30, 2010, single taxpayers with incomes up to $125,000 and married couples with incomes up to $225,000 qualify for the full tax credit.

The $6,500 Move-Up/Repeat Home Buyer Tax Credit at a Glance:

To be eligible to claim the tax credit, buyers must have owned and lived in their previous home for five consecutive years out of the last eight years.

The tax credit does not have to be repaid unless the home is sold or ceases to be used as the buyer`s principal residence within three years after the initial purchase.

The tax credit is equal to 10 percent of the home`s purchase price up to a maximum of $6,500.

The tax credit applies only to homes priced at $800,000 or less.

The credit is available for homes purchased after November 6, 2009 and on or before April 30, 2010.  However, in cases where a binding sales contract is signed by April 30, 2010, the home purchase qualifies provided it is completed by June 30, 2010.

Single taxpayers with incomes up to $125,000 and married couples with incomes up to $225,000 qualify for the full tax credit.