One of the great benefits of owning a home is deducting the mortgage interest you pay each year. But what about rental expenses for investment properties? Painting costs for new renters? In this episode of the podcast, Marc Heller, Partner at Warady & Davis, LLP, discusses real estate tax deductions, how they’re itemized & structured, and how they apply to homeowners.

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Special Guest Marc Heller, Director of Technical Tax and Partner at Warady and Davis LLP, stops by to discuss intricacies and components within the first-time homebuyer tax credit — and it’s upcoming expiration on November 30, 2009.

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As Labor Day approaches, buzz about the governments 2009 first-time homebuyer tax credit is growing, and its upcoming November 30th expiration date is dominating conversations in the real estate industry. Marc Heller, Director of Technical Tax and Partner at Warady and Davis LLP, helped synthesize some intricacies within the credit:

How do I apply for the tax credit?
First, contact your CPA to make sure you qualify. Click HERE to download IRS Form 5405.

Need the tax credit right away?
Contact your CPA. If you purchase your primary home between January 1st and November 30th 2009, you can file an amended 2008 tax return, still use your 2009 tax return, and get your refund faster than if you waited until April 2010.

If you move within 3 years?
You’ll have to repay the entire credit.

If your adjusted gross income is less than $75,000?
You’ll qualify for the full $8,000 credit.

There’s a time limit.
You have to close no your purchase by November 30, 2009. If you’re building your home, you have to occupy your new primary residence by November 30, 2009.

For more information and a specific description of how to actually obtain the tax credit, please listen to this recent edition of the PERL Mortgage Podcast.