The hugely successful homebuyer tax credit legislation has been re-established and extended, signed today by Gov. Arnold Schwarzenegger.
The new law, AB 183, allocates a new $200 million credit for homes purchased between May 1 and Dec. 31, and between Dec. 31 and August 1, 2011. That’s twice the amount allocated for purchasers of new homes last year. Those funds were quickly depleted and builders have been asking for the credit’s return ever since.
The state has extended the $10,000 credit to first-time buyers of existing homes as well as buyers of new homes. The funds will be split evenly between the two groups, and buyers will have to occupy the home for at least two years.