Do you know what those initials (FTHBTC) stand for?
First Time Home Buyer Tax Credit...
If you aren't already familiar with it, it might be gone before you get a chance to get more familiar... It is currently slated to expire at the end of November. And the clock is ticking.
In a nutshell, the First Time Home Buyer Tax Credit is the governments way to push a few first time home buyers (people that haven't owned a home for 36+ months) off of the fence and get them buying sooner rather than later. It is $8000, in form of a refundable tax credit, for those targeted buyers if they buy a qualifying home.. and don't earn over the income caps.
There are a LOT of posts written about the tax credit... this post is about the clock. Or calendar, rather.
While talking with one of my "Go To" Mortgage Gurus, the subject of mortgage application turn times came up. He is up to his eyeballs in applications, as are other Mortgage Originators. They are currently turning from application to close in about 21 days...
The credit is slated to expire on November 30th... about 33 days from now. Given that most homes take a few days to negotiate, time is short...
Scratch all of that...
Alright, literally as I wrote the last line I got word that the credit is likely to be extended until April of 2010. The details haven't been hammered out yet, but it looks like the credit will survive for a few more months...
Nevermind.
But, don't wait until the last minute. Over the last few weeks we have seen homes in multiple offer situations. We have seen a little inflating of entry level home prices. Acting sooner, rather than later, might be a good idea... things usually slow during the winter here.
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