If you’re on the fence about purchasing a home, the $8,000 tax credit for first-time home buyers may persuade you to pull the trigger. With the December 1 deadline nearing, lawmakers have been working on an extension of the tax credit into 2010. Although the full Senate and House of Representatives still must vote on the issue (and President Obama must sign the bill), on Thursday a Senate committee approved an extension plan. Here are the details:

New Buyer Qualifications

The original credit applied only to first-time buyers making $75,000 or less per year as a single or $150,000 or less per year as a married couple filing taxes together (although partial credits were available if you’re slightly over those limits). With the extension, new buyers can still claim $8,000, or 10 percent of the purchase price of the home, and the qualifying incomes rise to $125,000 for singles and $250,000 for married couples.

Previous Buyer Qualifications

Previous buyers are now eligible for a $6,500 tax credit, as long as they are purchasing a primary home and have lived in their previous one for five consecutive years out of eight. The qualifying incomes are the same as for first-time buyers, and the purchase price of eligible homes for both new and previous buyers is $800,000.

Deadlines

In order to claim the credits, if the proposal passes, buyers must have houses under contract by April 30. Then they have until June 30 to close on the home. Lawmakers have been clear that this will be the final extension of the credit.

If you want to take advantage of one of these credits – should they be put into law – visit NewHomeGuide.com to find your ideal new home today.