First Time Home Buyer Tax Credit Extension and Expansion a Done Deal by Friday?
Posted on | November 3, 2009 | 28 Comments
The first time home buyer tax credit extension and expansion is ALMOST done! It has been a long, winding road but we have almost reached the destination. Diana Olick of CNBC reported today that it is almost a done deal that the extension and expansion will be signed on Friday. Lawmakers in the Senate moved closer to signing the bill by voting 85-2; this would extend the home buyer tax credit until April 2010 rather than November 30th, 2009.
The next step is for Senate Republicans to finalize the vote; this could be interesting as some of these Republicans are unhappy with the Democrats for blocking their amendments to the plan. With that being said, many analysts feel that we are going to see this extension sealed due to the Senate vote last night.
The new plan will extend the current $8000 tax credit for new home buyers through April 30th and will also offer a $6500 tax credit for move up buyers who have been in their current residence for over five years. This extension could be very important in the continued effort to stabilize the housing market. Not only are first time home buyers going to receive a tax credit but so will “move-up” buyers; now it is time to find out if this will help to increase home prices.
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Author: Jesse Wojdylo
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28 Responses to “First Time Home Buyer Tax Credit Extension and Expansion a Done Deal by Friday?”
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November 3rd, 2009 @ 4:56 pm
how to calculate the five years?
even one day short is illegible?
November 3rd, 2009 @ 7:18 pm
Does the $6500 apply to individuals that has sold their home, and it was the main residence from 2001-2007? Just wanting to get better understanding of who will benefit from the tax credit extension.
November 3rd, 2009 @ 8:30 pm
The bill actually reads “In the case of an individual (and, if married, such individual’s spouse) who has owned and used the same residence as such individual’s principal residence for any 5-consecutive-year period during the 8-year period ending on the date of the purchase of a subsequent principal residence, such individual shall be treated as a first-time homebuyer for purposes of this section with respect to the purchase of such subsequent residence.”
HOPE THAT HELPS!!!
November 3rd, 2009 @ 8:32 pm
Jerry, The word would be ineligible, rather than illegible; and Trica, the correct phrasing should have been “individuals who have sold their homes…” A little education goes a long way. It might have even kept you out of that subprime loan!
November 3rd, 2009 @ 8:49 pm
Oh Scott, you are so smug…We all appreciate your opinion as you drive by in your prius, drinking wheat grass, and enjoying the smell of your own farts with the windows rolled up.
November 3rd, 2009 @ 8:54 pm
Scott, that was pretty rude.
How can you assume that either Jerry or Trica have/had subprime loans anyway?
I happened upon this blog because I was doing a search for news about the tax credit extension; maybe they did the same!
November 3rd, 2009 @ 9:09 pm
Scott, If you are going to assume the high and mighty role of everyone’s language professor, then even a mental giant like yourself knows that you do not capitialize a definite article after a comma, such as the word “the.” Man, what a disgrace to all of us who have a higher brain power. Scott lives in Smartsville, population of 1!
November 3rd, 2009 @ 10:08 pm
dang scott, betcha didn’t know you were getting yourself into all that sh*t did ya? WOW…look @ all my f’d up english slang!! just chaps your a*s doesn’t it, scottie…YAY FOR THE TAX EXTENSION!!!
November 4th, 2009 @ 7:00 am
WOW, Scott. I don’t think I’d run for congressman or Representative any time soon.
But, you might try reading the Beatitudes in the Bible for now.
November 4th, 2009 @ 12:15 pm
What date does the $6500 credit start.
November 4th, 2009 @ 12:21 pm
I would like to see the homebuyer credit revised to make it retroactive so that people who got the original credit not have to pay the money back if living in their home for more than 3 years. Thats how the credit works if buying a 1st time home after january 1, 2009. What a crock!!!!!!
November 4th, 2009 @ 1:19 pm
DL, it would start December 1st… once it gets approved of course…
November 4th, 2009 @ 2:09 pm
Hi, May I ask if anyone of you kind people know the name and bill # (for Senate and House), so that I may attempt to track it’s status (and hopefully progress)?…………..”still learning”
November 4th, 2009 @ 2:16 pm
Scott,
If you were really as smart as you imagine yourself to be, you would know the “advanced” rules with respect to ellipsis. If you are ending a sentence with ellipsis, its four ellipsis, not three. A little education goes a long way and might have kept you off of your dad’s computer today and in your 7th grade grammer class where you obviously need to be.
November 4th, 2009 @ 2:50 pm
Annemarie, Thank you. I was hoping it would start sooner, we are closing next week!
November 4th, 2009 @ 3:07 pm
Tax Credit Update – Senate voted 9701 today shortly after noon to end debate on H.R. 3548 (The Unemployment Compensation Extension Act of 2009) which contains the amendment extending and expanding the tax credit….Next step is for the Senate to vote on passage of the bill with the amendment…this may happen tomorrow night or Friday…I have complete info in a post at
http://www.realestateindustrynews.com/real-estate-market/home-buyer-tax-credit-extension-update/
November 5th, 2009 @ 6:05 am
DL, I’d put the brakes on your closing if I could. Make sure you can qualify for the free money first, then reschedule the closing. Closings are rescheduled all the time, and for a whole lot less reason than several thousand dollars in your pocket. Your agent should be able to help you out, even if it means they get paid a week or two later.
November 5th, 2009 @ 7:32 am
Settlement (closing) dates are contractural. Mortgage rates can change, the seller can call default (buyer looses earnest money deposit) if the closing date comes and the buyer does not perform. If all parties agree, the seller AND the buyer, then AND ONLY THEN the date can be changed. Good Realtors aren’t working simply because of the money; they like to help people. They want referrals.
November 5th, 2009 @ 7:42 am
We bought our home and closed on 05-30-2009. I am not a first time home buyer. Do I qualify for the $6500.00
November 5th, 2009 @ 9:51 am
When will the changes in the income limits be effective if the bill is passed today in the house and signed by the President by the end of the week? I am closing next week. Would the changes apply to me?
November 5th, 2009 @ 10:22 am
I am a little confused and hope that someone can clarify this for me. I purchased my home in February 2008. Do I qualify as a first time homebuyer?
Thanks,
November 5th, 2009 @ 1:37 pm
Homebuyer Tax Credit Update: The House of Representatives just passed the bill by a vote of 403 to 12. It is now headed to the President for his signature..he is expected to sign today or tomorrow which then puts the extension and expansion of the tax credit into law. I have complete details as well as links to the bill in a post at:
http://www.realestateindustrynews.com/real-estate-market/home-buyer-tax-credit-extension-update/
November 5th, 2009 @ 2:57 pm
If I wait to close, I lose the mortgage, the house and all of the out of pocket money already paid. As much as I want the money, it is not worth it.
November 5th, 2009 @ 9:10 pm
DL, good news (maybe)… I read the bill with the final amendments, and the effective date for the $6500 is no longer Dec. 1st. It now reads “shall apply to residences purchased after the date of the enactment of this Act.”
Sooooooo, as long as Obama signs it before you close, you can get the credit.
November 5th, 2009 @ 9:13 pm
Alex, see my last post for your answer about the income limits…hope your closing is later in the week!
November 6th, 2009 @ 3:42 pm
Annemarie, THANK YOU!! I am very happy to hear that!
November 6th, 2009 @ 4:08 pm
Okay, I did some searching and this is what I found:
” Here’s what you have to do to get your benefit:
1.Close on your home purchase between November 7, 2009 and April 30, 2010, or have a binding written contract by April 30, 2010 and close by July 1, 2010.
November 8th, 2009 @ 9:48 am
To bad the $6500 does not date back to the beginning. I owned my home for 10 years and my husband (who was a first time buyer) and I just gave up on trying to qualify for the first time buyers. Since we had been married (5 years), he did not qualify just because I had bought a home. I have not been able to find anything to show we could qualify.
We just closed on our new house Aug 30th. The $6500 would go a long way in fixing a few things in the house and eliminating the rest of our debt.