Economic recovery act passes US House & Senate: Virginia to receive billions, first-time home buyers $8000 tax credit

President Obama is expected shortly to sign H.R. 1, the “American Recovery and Reinvestment Act of 2009” which passed the both houses of the US Congress late last night. Housing related components of the bill include:

  • An $8000 tax credit for first-time home buyers, which does not have to be repaid
  • Reinstates 2008 loan limits for FHA, Freddie Mac, and Fannie Mae (equal to the greater of 125% of the 2008 local area median home price or $271,050 for FHA and $417,000 for Fannie and Freddie, with an overall maximum cap of $729,750)
  • $2 billion in Neighborhood Stabilization funding to help states and localities to purchase, manage, repair and resell foreclosed and abandoned properties
  • Funding for energy programs, which could be used to support property owners’ investment in energy efficiency upgrades

As part of the plan, Virginia stands to receive:

  • $695 million for roads and bridges
  • $116 million for rail projects
  • $2 billion for school construction

Sources:

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3 Responses to Economic recovery act passes US House & Senate: Virginia to receive billions, first-time home buyers $8000 tax credit

  1. What cooperation can do in this chaotic times. This is what we need to end atrocities too. All citizens should unite to achieve the much “coveted” recovery. I congratulate the American people for showing unity in spite of the adversities.

  2. What a great incentive package. Now those looking to buy and unsure in these economic times can have a reason to move forward and those looking to sell their homes and move on can have a possible way out. It’s too bad that the rest of the country is not being as proactive in solving the real estate woes across the US.

  3. While, I still take the position that throwing money at a problem as big as this will not fix the problem, it dose appear that the so far worthless gornment has taken some nice steps. Including infastructure and schools into the bill seems a much better idea than the pork previously intruduced. Of course there is pork but I’m willing to let the prok go if legitimate cause are also addressed.

    For now, I’ll take the hold my breath and see approach. Though I am much much more optimistic than before. I wonder how long, if ever we will see this have a positive effect on the economy.

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