The tax credit of up to $8,000 for qualified first-time home buyers purchasing a principal residence is in it’s final stages. The tax credit applies to sales occurring 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. So buyers need to be IN ESCROW by the end of April, and CLOSE by end of June.

Here are some common questions and answers regarding the tax credit. (Information obtained from Federal Government website.)

1. Who is eligible to claim the $8,000 tax credit?
First-time home buyers purchasing any kind of home—new or resale—are eligible for the tax credit.
2. What is the definition of a first-time home buyer?
The law defines “first-time home buyer” as a buyer who has not owned a principal residence during the three-year period prior to the purchase. For married taxpayers, the law tests the home ownership history of both the home buyer and his/her spouse.
3. How is the amount of the tax credit determined?
The tax credit is equal to 10 percent of the home’s purchase price up to a maximum of $8,000.
4. Are there any income limits for claiming the tax credit?
Yes. For sales occurring after November 6, 2009, the income limit for single taxpayers is $125,000; the limit is $225,000 for married taxpayers filing a joint return.
5. How do I claim the tax credit? Do I need to complete a form or application? Are there documentation requirements?
You claim the tax credit on your federal income tax return. Specifically, home buyers should complete IRS Form 5405 to determine their tax credit amount, and then claim this amount on line 67 of the 1040 income tax form for 2009 returns (line 69 of the 1040 income tax form for 2008 returns). Please note that although the Form is titled “First-Time Homebuyer Credit,” this is the correct form for claiming both the $8,000 first-time homebuyer tax credit and $6,500 repeat buyer tax credit.
No other applications are required, and no pre-approval is necessary.
6. What types of homes will qualify for the tax credit?
Any home that will be used as a principal residence will qualify for the credit, provided the home is purchased for a price less than or equal to $800,000. This includes single-family detached homes, attached homes like townhouses and condominiums, manufactured homes (also known as mobile homes) and houseboats. The definition of principal residence is identical to the one used to determine whether you may qualify for the $250,000 / $500,000 capital gain tax exclusion for principal residences.
It is important to note that you cannot purchase a home from, among other family members, your ancestors (parents, grandparents, etc.), your lineal descendants (children, grandchildren, etc.) or your spouse or your spouse’s family members.
7.  I read that the tax credit is “refundable.” What does that mean?
The fact that the credit is refundable means that the home buyer credit can be claimed even if the taxpayer has little or no federal income tax liability to offset. Typically this involves the government sending the taxpayer a check for a portion or even all of the amount of the refundable tax credit.
8.  Instead of buying a new home from a home builder, I hired a contractor to construct a home on a lot that I already own. Do I still qualify for the tax credit?
Yes. For the purposes of the home buyer tax credit, a principal residence that is constructed by the home owner is treated by the tax code as having been “purchased” on the date the owner first occupies the house. In this situation, the date of first occupancy must be on or after January 1, 2009 and on or before April 30, 2010 (or by June 30, 2010, provided a binding sales contract was in force by April, 30, 2010).
9.  Is a tax credit the same as a tax deduction?
No. A tax credit is a dollar-for-dollar reduction in what the taxpayer owes. That means that a taxpayer who owes $8,000 in income taxes and who receives an $8,000 tax credit would owe nothing to the IRS.
A tax deduction is subtracted from the amount of income that is taxed. Using the same example, assume the taxpayer is in the 15 percent tax bracket and owes $8,000 in income taxes. If the taxpayer receives an $8,000 deduction, the taxpayer’s tax liability would be reduced by $1,200 (15 percent of $8,000), or lowered from $8,000 to $6,800.
10.  Is there a way for a home buyer to access the money allocatable to the credit sooner than waiting to file their 2009 or 2010 tax return?
Yes. Prospective home buyers who believe they qualify for the tax credit are permitted to reduce their income tax withholding. Reducing tax withholding (up to the amount of the credit) will enable the buyer to accumulate cash by raising his/her take home pay. This money can then be applied to the down payment.

EwingSIR does not guarantee information contained in this blog, readers are encouraged not to rely solely on this information and to do their own independent research of facts contained herein. Blog information was obtained from independent sources that we do not endorse, and we do not investigate this information for accuracy.

Pam D' Ambrosio (left) Alan Woodcock (right)

Pam D’ Ambrosio, from the Ewing & Assoc. Sotheby’s Agoura Office and her husband, Alan Woodcock, enjoy an adventure on the lake in their restored Amphicar.  Many hours went into the restoration of this unique amphibious car/boat and they do get many curious stares when they are out on the lake.  Their friends enjoy going along for the ride too.

The Amphian was built in Germany in the 60’s and has a Triumph Herald engine.  It is referred to as the Model 770 – 7 knots on the water and 70 miles on the road. The car is put into gear (a stick shift gear) when going down the boat ramp and that switches it to the propellers and you are “going swimming” in the lake.

When in the water, the car gets many lookers and as well as questions.  Pam and Alan have fun with the car and will at time tell other boaters “We’re lost, do you know where the freeway is?”.

EwingSIR does not guarantee information contained in this blog, readers are encouraged not to rely solely on this information and to do their own independent research of facts contained herein. Blog information was obtained from independent sources that we do not endorse, and we do not investigate this information for accuracy.  Irma Haldane Real Estate Agent, Ewing and Sotheby’s.

Beware of burn areas as 2 major storms are on tap for Southern California

By: Roger Ewing

This is a friendly reminder to pay special attention during this week.  2 major storms will hit, the first on Monday, December 7th and the second, more impressive storm, will begin late on Wednesday, December 9th. Forecasters predict the 2 storms will cause widespread power outages and flooding in burn areas.  Also, be sure to keep an eye on your home.  Beware of clogged rain gutters and leaky roofs.   It’s also a great time to shut the sprinklers off and save a few extra bucks on your next water bill.  Drive safe and have a good week.

To view the rain and snow forecast go to Snow and rain levels.

EwingSIR does not guarantee information contained in this blog, readers are encouraged not to rely solely on this information and to do their own independent research of facts contained herein. Blog information was obtained from independent sources that we do not endorse, and we do not investigate this information for accuracy.

The Lakes

By: Rob Jordan

The City of Thousand Oaks is looking at the possibility of adding a movie/entertainment complex to bolster the financial performance of the Lakes shopping center adjacent to the Civic Arts Plaza. The 2-stage project was always planned to include an entertainment component, but only the first phase of shops and restaurants has been completed to date. An outside study concluded that more parking and a cinema would make the center more appealing and accessible. A more formal tie-in with the neighboring Civic Arts Plaza might also boost activity. Nate and Al’s delicatessen is the newest tenant to open at the Lakes. Drop by for a scrumptious meal!

EwingSIR does not guarantee information contained in this blog, readers are encouraged not to rely solely on this information and to do their own independent research of facts contained herein. Blog information was obtained from independent sources that we do not endorse, and we do not investigate this information for accuracy.

Do you own an unruly pooch and  are looking for your 30 minutes of fame?

Cesar Millan

By: Rob Jordan

Dog Whisperer Cesar Milan is looking in the Westlake Village area for dogs needing doggy rehabilitation. If you have a problem pooch, grab your video camera and shoot a 5-7 minute video highlighting your pet’s canine transgressions… bad behaviour, quirky, fearful… and send it in to the show’s producers (National Geograhic.)  If you’re selected, there’s an in-person audition on November 24. Be sure to be on your best (I mean worst) behaviour! For additional information, contact Contact bethearley@msn.com.

EwingSIR does not guarantee information contained in this blog, readers are encouraged not to rely solely on this information and to do their own independent research of facts contained herein. Blog information was obtained from independent sources that we do not endorse, and we do not investigate this information for accuracy.

Courtesy of the Acorn

By: Rob Jordan

This Wednesday at Brookside Elementary, 12 veterans stood when they heard 4th graders sing the theme song from each of the four United States military branches.  The Vets represented Army, Navy, Air Force and Marines.

“We are so thankful to you for all you have done to keep our country safe and free,” said Emily Stephens, a fourth grader at Brookside.  Smith’s grandfather, a veteran, was amongst the crown receiving due praise.

These young children began to understand the debt paid by our soldiers who give their lives for our country.  It’s nice to see some recognition being given to those who deserve it.

EwingSIR does not guarantee information contained in this blog, readers are encouraged not to rely solely on this information and to do their own independent research of facts contained herein. Blog information was obtained from independent sources that we do not endorse, and we do not investigate this information for accuracy.

By: Roger Ewing

By: Deena Nissely

www.bradsherman.house.gov

EwingSIR does not guarantee information contained in this blog, readers are encouraged not to rely solely on this information and to do their own independent research of facts contained herein. Blog information was obtained from independent sources that we do not endorse, and we do not investigate this information for accuracy.

Nearly everyone is Googling, Tweeting, Facebooking, and Digging.  Just about no one is talking.

By Roger Ewing

In Martin Scorsese’s 1976 classic movie Taxi Driver, a deranged Travis Bickle, portrayed by Robert De Niro, asks his own reflection this now famous question, “you talkin’ to me?”.

De Niro’s character is a troubled and conflicted New York City taxi driver who has isolated himself from society.  His aloneness allows Bickles’ demons to get the better of him and he lashes out at the decadence he sees in the city.  Travis Bickle is emblematic of the struggle we face in our modern lives.  Anonymity has become the desired posture.  And like Bickle, we have created cocoons of privacy around ourselves.

Problem:  How do we develop new business relationships in an environment where our customers and clients are demanding more privacy and seclusion?

Nearly 85% of all my business transactions are the direct or indirect result of someone recommending me.  Sound like a large number?  Do some research into the specific sources of your successful business transactions and you will discover, as I have, that developing and maintaining relationships is probably the most important aspect of your business.

At the end of the day, we are all in the business of relationships.

In a rapidly expanding web based world, privacy has become a scarce commodity.  Modern man seeks paparazzi free space.  The development of filtering software, and mechanisms to ensure our separateness, has become big business.  No one wants to hear from anyone they don’t already know and trust.

The irony is that your business enterprise, regardless of the category, is probably dependent upon the continued expansion of your sales base.

Solution: “Micro Community Blogs” that provide meaningful, quality information to people on a neighborhood level.  I have found this to be a simple and effective marketing strategy that gives me permission from individuals in the community to communicate directly.

Information is the drug of choice in our modern civilization.  In an effort to satisfy their desire for information, modern humans Google everything and everyone.  If information is King, then Google is surely Emperor.

65% of all inquiries on the Internet begin with Google.

Lets put that in perspective. According to marketing research company comScore, in the United States alone, some 14.3 billion Internet searches were conducted in May 2009.  comScore estimates there were 9.3 billion searches on Google for that month, representing an astounding 299.83 million Google searches per day!

Micro Community Blogging involves an Internet strategy that provides valuable information to individuals in their cocoon like sanctuaries.  Reaching out to people, community by community, will prove to be the successful approach for enterprising marketers.

Here are the basic rules of engagement.

1.  The information we share with the community must be in the first person.

2.  This information must be relevant and topical on a neighborhood level.

3.  Never sell anything in the Micro Community Blog.

Blogging is the preferred means of communicating in a village-like environment.  Blogging has replaced the chatter we used to share with our neighbors and it has become a replacement for the party-line telephone that served as the internet in our parents ancient analog world.

You Googlin’ me?  Hope so, because I already Googled you.

Alive, Well and Growing

By: Sher Hann

Nestled behind the Westlake Inn, with 10 courts and a minuscule pro shop, Pacific Tennis Club  caters to young, old and “tweeners.”  Despite the current challenging economy, the club’s membership has actually increased about 3% over the past two years, according to club owner Bowie Hahn. This growth is all the more amazing given the fact the local population is – let’s be honest – aging.

What the club lacks in physical amenities (a club house and a private restroom would be nice), it makes up for in programming. I have seen kids so young they can’t tell their left from their right, as well as players we all refer to as “they must have been really good at one time” run, shuffle or hobble onto the courts.  In fact, there’s something for every age: ladies leagues, men’s leagues, clinics for all skill levels, programming for children and youth (it is just a few blocks from both Oaks Christian and Westlake High School), and social events.

Just recently PTC contracted with the City of Agoura Hills to run their tennis programs, with the primary site being Agoura High School.  A community-based club, allowing both members and non-members to participate in activities (non-members pay extra), PTC is also the lowest-priced tennis club in the area, according to Hahn – and perhaps the only club that is growing.

So don’t let the local aging trend stop you – or your skill level for that matter.  Come check out a racquet (for a small fee) if you don’t already have one, check out the pros (usually worthwhile), and enjoy your time on the courts.  If you have a business, service or just an interesting concept that you think your Conejo Valley neighbors might find of interest, e-mail me your idea (idea@SherHann.com).   It may see the light of electronic media here at www.EwingSIR.com.

EwingSIR does not guarantee information contained in this blog, readers are encouraged not to rely solely on this information and to do their own independent research of facts contained herein. Blog information was obtained from independent sources that we do not endorse, and we do not investigate this information for accuracy.