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One step closer to extending the Tax Credit Closing deadline

By
Mortgage and Lending with CMG Home Loans NMLS 248937

 Tax Credit Closing Extension: Not a done deal..... yet

 

As you may have heard or seen in the news, it is LIKELY that the tax credit closing deadline will be extended from 6/30 to 9/30.     However, since the House must still approve this, it is not a "done deal".    I will keep you informed as information becomes available.   PLEASE NOTE:  this extension is for the closing deadline only.  The contract of sale still needed to be drawn on or before 4/30/10. 

WASHINGTON - An estimated 180,000 consumers eligible for the government's homebuyer tax credit could lose that benefit because a huge backlog could make them miss the June 30 deadline to complete the transaction, but the Senate voted Wednesday to give consumers three more months to seal their deals.

The House of Representatives still must go along before the extension becomes law, a vote that's likely before June 30. So this is NOT a "Done Deal" just yet, but it is looking more likely that we will have some more time to push through the closings for the buyers that had contracts in April.

Stay tuned!

Rob

Robert Rauf

Mortgage Banker

NMLS ID# 248937

www.RobertRaufHomeLoans.com   or my blog: http://activerain.com/blogs/rrauf

(732)223-1630 x102

Since 1987 I have been helping my clients fulfill their dream of home ownership!

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Maureen McCabe
HER Realtors - Columbus, OH
Columbus Ohio Real Estate

I had a call from a client about it last night. 

Jun 17, 2010 04:18 AM
Donne Knudsen
Los Angeles & Ventura Counties in CA - Simi Valley, CA
CalState Realty Services

Rob - Yeah, I read this too and blogged about it as well.  While I'm getting kind of tired of all the tax credits (CA started their own on May 1st), I do understand that there were a lot of buyers who were in escrow before the April 30th deadline and because of one thing or another (usually because it's a short sale), they will not close by June 30th. 

Jun 17, 2010 05:33 AM
Robert Rauf
CMG Home Loans - Toms River, NJ

Maureen, it is important that we give our clients Accurate info!

Donne, at least this isnt a new tax credit, I truly doubt we will see another federal tax credit. It will help lenders that are expecting a big rush the end of this month, there are only so many grains of sand that will fit through that hourglass at a time!

Jun 17, 2010 06:10 AM
Toula Rosebrock
Diane Turton, Realtors, Forked River, NJ - Lacey Township, NJ
Broker/Sales Associate, Realtor, Lacey Township,

Hi Rob:

Many buyers are stressing over the June 30th deadline.

Now let's see if Christie approves the $15K NJ Tax credit.

Jun 18, 2010 03:12 AM
Robert Rauf
CMG Home Loans - Toms River, NJ

Good Morning Toula.

The only problem with the NJ credit, if we get it? (and where the heck is the money coming from???) it is slated for about 80% new construction - we dont have much new construction that "works" for first time buyers, and I dont understand the thinking. That is an incentive to add inventory which we really do not need???

Jun 18, 2010 03:20 AM