Lets clear up the confusion regarding the Homebuyer Tax Credit extension.

By
Real Estate Agent with Long and Foster Realtors

                           

Lets clear up the confusion regarding the Homebuyer Tax Credit extension.

 

 People keep asking me has the Homebuyer Tax Credit been extended again?  

 

       Yes, Congress passed an extension of the Homebuyer Tax Credit deadline to Sept. 30, 2010.  It only applies to homebuyers who had a written and binding contract in place as of April 30, 2010, but have not yet closed.

     The National Association of Realtors (NAR) said that up to 180,000 homebuyers were eligible for the tax credit, but were unable to finalize the contracts by the deadline due to the amount of last-minute deals that overwhelmed the system. This was particularly critical for short sales, where a lender allows a home to sell for less than the amount owed. The Internal Revenue Service says more than 2.6 million taxpayers claimed the tax credit through April. Congress also extended the National Flood Insurance Program until Sept. 30, 2010, allowing property owners seeking flood insurance policies more time to finalize pending paperwork.  The NAR said extending the tax credit closing and flood insurance deadlines will help provide additional stability to real estate markets.

Comments (2)

Alan Bruzee
Long & Foster Real Estate, Inc. - Rockville, MD

Everyone would like the credit extended again, but the smart buyers were out there early and the buyers who benefit from the extension are really those trying to close their short sale.

Aug 08, 2010 04:10 AM
Christopher Pataki
RE/MAX Associates - Hockessin, DE
Hockessin Delaware Real Estate

Don't forget to let your military clients know that they may still be eligible for the credits through next April......................chris

Aug 08, 2010 04:13 AM