I'm wondering if the Tax Credit for downpayment is a for sure thing or coming up soon, why wouldn't it be in the best interest of buyers to put off buying until they can make use of it?

Wouldn't buyers who now can only raise the 3.5% be better off adding the tax credit to the pot and possibly get a better loan arrangement, better rates?

What would be the downside of buyers waiting?

Dunes

Maybe there will be another one. We're buying a house right now because it seems like a very good deal. There might be a better one next year... or maybe there will be none at all. I've read comments from a lot of people who rushed to get a house last year for the $7500 tax credit (that you have to pay back) are upset that there's a better one this year. No guarantees.

Anything is possible, and everything is speculative, but the $8,000 is certainly helping more people make the decision to get out and buy a house. Tis incentive, coupled with great interest rates makes it difficult for a first time homebuyer (or someone who has not owned a home in a few years) not to go out and buy something. Even if it is a temporary help to get some existing inventory off the market, it will help the economy in the long run.

The FHA has just announced steps to include the $8,000 as part of a down payment rather than just a tax credit which should further help the cause.

For more information on the FHA news, visit the link below.