How to download purchased Apps from iPhone/iPod to iTunes?

After doing a fresh install of Snow Leopard I lost my iTunes Purchased Apps as I had no backup what so ever. (silly me). I had a new iPhone and my old iPod Touch was loaded with Apps and I wanted to transfer those to my brand new iPhone. As there was no backup on iTunes I could not get the Purchased Apps from iPod to iTunes so that I can restore them to iPhone. I tried a lot of forums and could not find a simple answer. Finally, in a moment of desperation, I righted clicked on my iPhone and chose the option “Transfer Purchases” and to my suprise and glee I successfully moved my applications onto to my computer.

To transfer applications to iTunes from your iPhone:

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