The Franchise Tax Board reports that as of June 3, 8,522 Californians had applied for $82.5 million in tax credits for buying a newly built residence between this past March 1 and March 1, 2010.
The credit, worth up to $10,000 to the buyers, is capped at $100 million on a first-come, first-served basis. Assuming all the applications meet the rules, just 17.5% of the money is left in a program that’s not even three months old.
Meanwhile, the California Building Industry Association released figures showing “signs of stabilization” in the new-home market, saying that the tax credit was partly responsible.
Costa Mesa-based Hanley Wood Market Intelligence reported that while California new-home purchase contracts were down 30.5% in April from the year before, sales have climbed steadily in the months since the tax credit went into effect.
The credit, worth up to $10,000 to the buyers, is capped at $100 million on a first-come, first-served basis. Assuming all the applications meet the rules, just 17.5% of the money is left in a program that’s not even three months old.
Meanwhile, the California Building Industry Association released figures showing “signs of stabilization” in the new-home market, saying that the tax credit was partly responsible.
Costa Mesa-based Hanley Wood Market Intelligence reported that while California new-home purchase contracts were down 30.5% in April from the year before, sales have climbed steadily in the months since the tax credit went into effect.
