Nationwide statistics showed that around 40,000 Indiana home buyers took advantage of the federal government’s tax credit program. The high number of foreclosures in Indianapolis and in other areas of the state resulted in more home buyers seeking help from the government.
A total amount of $269 million were provided to home buyers in Indiana. These include those who purchased a house since the credit program’s launch in April 2008. Data from the Internal Revenue Service showed Indiana ranks 14th in terms of total tax credits filed, giving a conservative estimate of where the state stands in terms of foreclosures by state statistics.
The latest breakdown by states from the IRS showed that $12.6 billion had been used on tax credits as part of the government’s attempt to improve the conditions of housing markets around the country and lower the number of foreclosure homes for sale.
Homebuyers who filed for tax credits accounted for more than 30% of the homes sold in the state since April 2008, including existing houses and homes in foreclosures in Indianapolis. However, this percentage does not include properties that were sold without an involvement from a realtor.
Reports also showed that majority of those who sought tax credits were first time home buyers, both of Indiana foreclosures and existing residential properties. This, in turn, is believed to have contributed to the rise in the housing sales numbers of the whole state by around ten percent.
The credit offers as much as $8,000 to first time home buyers, while families who already own homes and are buying another one are provided with as much as $6,500 under the credit program. Despite the obvious need of most home buyers for financial help in purchasing homes, real estate experts do not expect residential property sales to get to a sudden stop once the credit program reaches its deadline.
The top states in terms of tax credit filings include California, Texas and Florida. Indiana comes in at number 14. The rankings are based on statistics gathered between April 2008 and February 2010.
Along with other counties in Indiana, foreclosures in Indianapolis are believed to have played a major role in the high number of state residents who filed for tax credit under the government’s program. This partly influenced the rise in home sales in the state.
Author Resource:-> Original Post: Rate of Foreclosures in Indianapolis Resulted in High Tax Credit Worth on BankForeclosuresSale.com.
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