Time is running out!

Time Is Running Out on First Time Home Buyer Tax Credit

Denver, CO-September 19, 2009-Only 35 shopping days left for "wannabe" home owners. The $8000 federal tax credit, offered this year to stimulate home sales, will end November 30, 2009, which means that first time home buyers who qualify for the credit must close on their first home purchase transaction on or before November 30^th.

"We're telling people that, in order to take advantage of the tax credit, you have to be Under Contract, no later than October 30th", explains Jim Lyons of Keller Williams Realty in Westminster. "Really, the minimum time frame for processing a typical real estate transaction is at least 30 days", says Lyons. However, many transactions are actually taking 45-60 days, due to changing loan requirements and the over supply of FHA loan requests, according to Mitch Friedman of Premier Mortgage Group in Westminster.

"The demand for FHA loans has been staggering this year", says Friedman. Approximately 40% of all real estate sales in 2009 have been from First Time Home Buyers, according to the National Association of Realtors. And with only 3.5% down payment requirements, FHA is the logical choice for most people purchasing their first home. CFHA, the Colorado Finance and Housing Authority also offers a down payment assistance program with as little as $1000 down for qualifying purchasers.

In response to the demand, Freidman and Lyons have organized a series of First Time Home Buyer classes, held monthly at the Arvada Public Library. "We've held a total of six classes over the summer", says Lyons, "and the response has been really exciting."  "We have several real estate professionals on site to answer questions, such as a mortgage banker, home inspector, tax expert, home insurance expert, and more." The next class will be held Tuesday, October 13^th, from 7-8:30 PM.  But with time running short, home buyers can also gather good information at a special web site set up by the group-www.cfthb.com. For more information about the classes, visit the web site or call 720-581-0342.