Like watching sand trickle through an hourglass, we've watched $100 million in state tax credit funds for new home purchases disappear in less than four months.
The popular $10,000 tax credit, which was launched in March, was aimed at helping builders weather the economic downturn. And it seems to have helped.
The Franchise Tax Board is reporting that, through June 17, $95 million of the $100 million allocation has been claimed. 9,800 hundred applications have been filed (out of 10,000 funded slots) so far, although the state is saying it will take up to 12,000 applications before it freezes the credit to account for duplications, revisions and invalid applications.
Buyers must live their new home two years to keep the credit.
To learn more about the $10,000 state new construction tax credit, click HERE
