If you have been RENTING for the Past Three Years

YOU CAN QUALIFY*

Hundreds of measures in 2009's American Recovery and Reinvestment Act are designed to stimulate the nation's economy, but one special provision has seized the nation's attention. In addition to long-established deductions for mortgage interest and property taxes, qualifying first-time homebuyers can now claim a dollar-for-dollar tax credit of up to $8,000. Here are the highlights of this landmark legislation:

• * "First-time" homebuyers are those who have not owned a principal residence within the previous three years.
• Qualifying purchases - which include single-family homes, townhouses, and condos- must close after December 31, 2008 and before December 1, 2009.
• Eligible buyers can claim a 10% credit, up to a maximum of $8,000, on their 2008 or 2009 tax return.
• Single taxpayers with incomes up to $75,000 and married couples earning up to $150,000 qualify for the full tax credit. Partial credits may be available to homebuyers with incomes that exceed those levels.
• Unlike the homebuyer tax credit enacted in 2008, this new credit does not have to be repaid unless the homeowner sells the property within three years after purchasing.
• The tax credit is refundable. If you owe less than $8,000 in federal  income tax, the government will write you a check for the difference. Any refund you are due will grow by the amount of your tax credit.