We received great news last week that Congress was going to extend the time for the closing of properties that were under contract before April 30th and would be eligilbe for the first-time home buyer tax credit of up to $8,000 or for an existing homeowner of $6,000
Homebuyers may get an extra three months to finish qualifying for federal tax incentives that boosted home sales this spring.
Senate Majority Leader Harry Reid, D-Nev., said Thursday he wants to give buyers until Sept. 30 to complete their purchases and qualify for tax credits of up to $8,000. Under the current terms, buyers had until April 30 to get a signed sales contract and until June 30 to complete the sale.
The proposal would only allow people who already have signed contracts to finish at the later date.
The bill, which is being sponsored by Senate Majority Leader Harry Reid, D-Nev., Sen. Johnny Isakson, R-Ga., and Christopher Dodd, D-Conn., is currently under consideration. The bill wouldn't extend the time available to put in a signed sales contract, which has already expired, but simply extends the time available to complete the sale to September 30th.
This would be a tremendous help for the situations where the bank has not completed the processing or "cleared it to close." Everybody from the attorneys, to the title insurance people, to the Monroe County Clerk were gearing up to handle the huge number of transactions that would be trying to close and go on record before July 1st.
We are anxiously awaiting word that Congress will vote yes to this bill to extend the closing time frame. If you would like to help, please call, email, or write your Congressman and ask them to vote for it.
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