Part of the Housing and Economic Recovery Act that was recently signed is a provosion that provides first time home buyers with a tax credit of 10% of the purchase price of a home up to a maximum of $7,500.00. The tax credit phase out begins with incomes of $70,000 for singles and $150,000 for joint filers. The tax credit is available for home purchases between April of 2008 and June of 2009. The tax credit gets paid back over the next 15 years when income taxes are filed.