Homebuyer Tax Credit Extension Approved!

Can I say what everyone else is thinking?   Why did it take so long to extend the deadline for the homebuyer tax credit?  As a mortgage originator, I’ve seen the emotional pain that our current government leaders put people through for no reason by not acting sooner.  It was a simple piece of legislation that could have been voted on weeks ago…It’s about time!

Now with that said, the House and Senate have finally passed the Homebuyer Assistance and Improvement Act  H.R. 5623.  This legislation, which was introduced by Rep. Kathleen Dahlkemper (D-PA) and had 7 co-sponsors, extends the first-time homebuyer tax credit to September 30th, 2010 for buyers that have entered into a contract by April 30th, 2010.  The bill received a vote of 409-5 in the House and a Unanimous Consent in the Senate.  The bill will now be sent to the White House for President Obama’s signature.  The President is expected to sign the bill.

In short, the bill allows those that were unable to close by the original date of April 30th additional time to close.  The bill does not allow anyone else to participate in the Homebuyer Tax Credit; meaning that you can not buy a home now and receive the credit, nor does it allow those that entered into a binding contract after April 30th, 2010 the ability to qualify for the Homebuyer Tax Credit.  Also, if you happened to close after June 30, 2010 and before the bill passes you will still qualify.

Have a question or perhaps need more information?  You can contact me by posting a comment below, I would be happy to help.