If you watched "This Week with George Stephanopolous" you would have seen Senators Schumer and Cornyn in rare agreement as they discussed the extension of the tax credit.  They both agreed that some sort of extension was necessary.  Senator Isakson's bill would extend the tax credit for six months to a year and expand it to include all homebuyers.  Additionally it would increase the amount of the credit to $15,000.  If the bill does indeed get out of the Senate it should receive support in the house from Barney Frank given his past support for Fannie Mae and Freddie Mac.

That being said, I think the tax credit will be disastrous for our economy.  Home prices need to settle down to their natural level for the economy to achieve sustainable growth.  The tax credit does nothing but distort the market.