Good question. They are evaluating the response to the tax credit right now
every month. If it proves to be effective enough they will stop it.
There is also talk for homeowners who are facing foreclosure to receive
a principal reduction on their mortgages enough to reflect market value of their home
today. That means less people in trouble, less foreclosures and short sales which
equals a better real estate market.
If I were you I would take advantage of this tax credit and not wait any longer.
Also interest rates are at an all time low right now.
This is an opportunity of a lifetime right now with all the incentives in place.
I just put together a deal in Seaford. This house was on the market one week and we are
signing contracts. Go figure. It's happening right now. Things are improving
Go for it!
Camille Dandola, Certifed Buyer Rep., Also a freelance Court Reporter.
Charles Rutenberg Realty, Inc.
I don't know whether the tax credit will be extended past April 2010 - it's really too early to get a handle on what Congress may do, especially since they are very involved with the healthcare bills at this time.
The National Association of Realtors (NAR) just published an article stating that November 2009 saw a 16% drop over October in the sales of existing houses and attributed that fact to the, then, imminent end of the 1st time homebuyer tax credit. Since that credit has been extended, the # of existing home sales has increased once again. NAR is forecasting, at this point, the decrease of home sales if the credit ends as planned, in the spring 2010.
To take advantage of the tax credit (whether a 1st time homebuyer or current home owner) you must have fully executed contracts of sale no later than April 30, 2010 and close on the transaction no later than June 30, 2010. So, this gives you a little leeway since you only have to be "in contract" as of April 30, 2010.
The value of the tax credit is, at most, $8000. Depending on the housing market at the time you are ready and able to buy a home and the agent (if the agent acts as a Buyer Broker and represents YOU, as I would), you may be able to negotiate the $8000 into a reduction in the amount you will pay for the home.
Bottom line is, you want to buy a home when you are ready, willing and able to do so - not on Congress' timetable!
If you have any further questions, about the tax credit or any other real estate matter, or would like to further discuss Buyer Broker Representation, please contact me directly at (516)410-3594 or Arlynn@ArlynnPalmer.com.
In the meantime, please visit my website at http://www.ArlynnPalmer.com where you can get FREE Buyer Reports, FREE School and Neighborhood Information, my Monthly Newsletter and other valuable real estate information.
Regards and a Happy and Healthy New Year to you and your family,
Arlynn B. Palmer, ESQ, SRES, CBR, CMS, CNS
Associate Broker, REALTOR
Coldwell Banker Claire Sobel