Congress “extends” First Time Home Buyer Tax Credit deadline to September 30th – well not really. They extended the CLOSING DEADLINE to the end of September for buyers who went under contract before April 30 but this does not mean it is a true extension.
The National Association of Realtors beat their drums loudly enough on the steps of Capital Hill to get Congress to approve an extension of closing deadline to the First Time Homebuyer Tax Credit. So, don’t jump out of your seats ! The tax credit extension is only for those who were already under contract before the previous deadline of April 30th, they now have until September 30th to close and receive the $8000 first time buyer credit. This extension is from a close date of June 30th. The most compelling reason for this extension was do to the high volume of Short Sales that are currently under contract and are not on scheduled to close by the June 30th date. This is because Short Sales require bank approval on the Seller’s side, and most large banks that are being asked to approve Short Sales are simply over inundated with such requests that they are just backed up.
There is one group of buyers who can still take advantage of the tax credit and who did have a true extension and those are members of the military, foreign service and intelligence service. They have another year to take advantage of the credit. For more information about this, see my blog entry at:
https://propertyinseattle.wordpress.com/2010/05/17/special-one-year-homebuyer-tax-credit-extension-for-members-of-the-military-foreign-service-and-intelligence-service/
Kerstin G. Brooks
206.276.5827
Brooks & Heinze Team
http://www.propertyinseattle.com
Kerstin G. Brooks, Broker 