Late last week Governor Schwarzenegger signed a bill offering a $10,000 state tax credit for first-time homebuyers in California. The bill will provide $200 million in home buyer tax credits, allocating $100 million for buyers of new homes and $100 million for those who buy existing homes. Designed to help boost home sales, this new bill is a great opportunity for qualified buyers.

The federal home buyer tax credit, which is scheduled to expire on April 30th, continues to help move qualified buyers into the market, and this new bill stands to make even more of a positive impact in California.

The new bill is available from May 1 until the end of 2010, on a first come, first served basis. For information about the program visit: http://www.ftb.ca.gov/individuals/New_Home_Credit.shtml. And, as always, it is important that you consult with your financial advisor before taking advantage of tax incentives.