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Military Gets Tax Credit Extension

By
Real Estate Agent with Keller Williams Realty Lake Oconee 152707

Feb 23, 2010 -- Military gets extension of first-time homebuyer credit

 

For civilians, the first-time homebuyer credit runs out on April 30, 2010. In order to qualify, you must identify a property by that date and then close on the deal by June 30, 2010.

But The Los Angeles Times reports there's a special one-year extension of this credit for active military. The brave men and women in our armed forces will have the opportunity to identify a property by April 30, 2011 and close on it by June 30, 2011.

Anytime you have a program like the first-time homebuyer credit, it creates artificial demand in the marketplace. When its end, housing will go through a hangover much like the car market did after Cash for Clunkers. Therefore, military members will have a strategic advantage by waiting to buy until after the program's initial expiration for the general public in April 2010.

In related news, military families that have sacrificed so much frequently face the added burden of having to move posts every three years or so. That means, of course, buying a home at each duty station and selling the home at your previous post.

The federal stimulus package actually offers compensation for those military homeowners who are forced to sell at a loss -- for up to 95 percent of that loss. This applies to a primary residence purchased before July 1, 2006.

See additional details about the Homeowners' Assistance Program.

Reposted from Clark Howard

 

Damon Gettier
Damon Gettier & Associates, REALTORS- Roanoke Va Short Sale Expert - Roanoke, VA
Broker/Owner ABRM, GRI, CDPE

I am in favor of anything that benefits our military personel.  I am not a fan of the tax credit in principal though.

Mar 01, 2010 03:45 AM
Eric Lanspa
Town & Country Realtors - Sioux Falls, SD

Thank you for the blog and the links.

Mar 01, 2010 04:09 AM