Home Buyer Tax Credit -
Deadline Coming Soon
As we head into the spring home buying season, recent housing numbers and anecdotal evidence, suggests that home buying is beginning to pick up. One of the reasons for the increase in home sales, outside of lower prices and interest rates, is the $8,000 first time home buyer tax credit for new home buyers as well as the $6,500 home buyer tax credit for existing owners. This credit of course however, is nearing its deadlines as purchase contracts must be signed by April 30, 2010 and must close by June 30, 2010 in order to receive the credit.
For those that have interest in purchasing and obtaining the tax credit, now would be the time to act. Especially if you have concerns which may lengthen the process, such as credit or down payment issues that may affect the loan process.
In addition, there is also a negative in the positive that is increased buyers; that is a more difficult time in getting your purchase offer accepted. Home buyers and real estate agents in the current market have reported that multiple offers are common place on almost all bank owned homes in the current market. Meaning that it could take longer until you have your offer accepted, as you may end up having to bid on more than one property.
In addition, other transactions such as short sales, will typically take longer to close as well, as a third party bank must approve the sale.
What this all means is that this is certainly an opportune time to purchase, with the combination of affordability and tax credits in the current market for buyers. However, with the time length from start to finish of purchasing a home in the current market, April 30th and June 30th are a lot closer then it may seem. If you are looking to purchase, now may be the time to contact a mortgage broker to begin the prequalification process and real estate agent to begin searching for homes.
For more information on home purchase loan or refinance programs for existing and potential home owners, please contact Bill Kamboukos of Strategic Mortgage at (480) 219-3682 or by emailing: info@strategicmtgaz.com or online at www.strategicmtgaz.com
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