Over the weekend, President Obama signed into law new legislation entitled, "Worker, Homeowner and Business Assistance Act." This bill extends the new homeowners tax credit until May, 2010. But that's only part of it. This bill also allows anyone who has lived in the same house for the past 5 years to qualify for the new homeowners tax credit. The credit is reduced to $6,500 for these homeowners and the new house they buy can't cost more than $800,000. Still, this is a great benefit for anyone thinking of getting out of their old house and upgrading.

In addition, the income limitation to qualify for this credit has been raised from $150,000 income limitation to $225,000.

This could just be the best time ever to buy a house. Not only do you get a tax credit, there are terrific deals out there. So even if you have to take a hit on the price you get for your current home, you could very well get a great deal on a new home.

Pretty exciting news. Another stimulus package for homeowners. And that's not all. There are tax benefits in this new law for business owners that I will discuss in tomorrow's blog.

Warmest regards,

Tom