The Expanded and Extended Homebuyer Tax Credit for Current and New Home Owners

First time home buyers are currently in a great position, not only are they able to take advantage of the higher homestead exemptions, and lower interest rates but also the new tax law to benefit real estate called the American Recovery and Reinvestment Act. The first time home buyer tax credit as enacted in November 2009 extends the credit until April 30, 2010. It states that as long as the purchaser has a written binding contract to purchase a home by April 30, 2010, the purchaser will have until July 1, 2010 to close. With the expansion of the Homebuyer Tax Credit toward the end of 2009, “Florida ranked third nationally in the number of people filing for the tax credit (105,608), trailing only California (160,325) and Texas (131,411)” according to the Associated Press.


These numbers are sure to have risen since then as the extended homeowner tax credit also expanded the credit to grant up to $6,500 to current home owners purchasing a new or existing home between November 7, 2009 and April 30, 2010. The tax credit will equal up to 10 per cent of the home purchase price up to $6500. Buyers may even construct a new home as a principal residence on a lot that has already been purchased to qualify for the credit. In this case, the date of purchase is calculated as the first day of move in.

Although the tax credit was constructed to give every one a piece of the American dream, limitations have been set. Tax law for real estate requires that the cost of the home purchased may not be priced above $800,000 to qualify for this. Note that the credit does not apply to those wishing to buy a home from ancestors or from lineal descendents. Individuals who are claimed as dependents or are under the age of 18 also do not qualify for the expanded tax credit.

The current homeowner definition for eligibility states that one must have used the home sold as a principal residence for five of the previous eight years for buyers to meet the criteria as long-time residents. If the home purchased is sold or those individuals move out of the residence within three years of the purchase date, the IRS will likely ask for the credit back. The tax credit is sure to stimulate the market and encourage spending for those who have done their due diligence. With that in mind, is it fair to say that those who do not take advantage of this extended homeowners tax credit opportunity and this market; may regret it in later years?

Starbucks Now Uses Iphone App to Accept Payments

Great news for all you Starbucks drinkers out there - - Now you can use the Starbucks iphone application to pay for your coffee at more than 1000 Target locations throughout the United States.


When I searched to see if any Target stores around Boca Raton, Florida are participating in this new feature, it seems that most of them in our area of South Palm Beach County, FL are accepting this new form of payment.

I'm sure that consumers and coffee retailers can agree that this new application is very significant. While the Starbucks Card Mobile application seemed like a great idea (who doesn’t love the thought of having their iPhone scanned to pay for coffee?), in the past it could only be used at 16 retail stores in Seattle, Washington and Silicon Valley in Northern California. Now that over 1000 additional Starbucks inside Target stores have been added to the functionality of the application, this alternative payment option has definitely raised the status of the company.

I think this is a great example of pushing technology to the next level. Hopefully other retailers will jump on the bandwagon in this upcoming year. If you have an iPhone, I highly recommend driving to your nearest Target and taking a test drive of this new feature. To see a list of local Targets in the Boca Raton, Florida area, check out the site.