The first-time homebuyer tax credit and repeat homebuyer tax credit program, which was extended last year, is set to expire April 30th. Homeowners wishing to use the tax credit have to be under contract on a home by that date and they have to close on the home by June 30th.
Many homeowners have bought homes because they were going to be getting the tax credit incentive, along with the fact that home prices and mortgage rates have been very affordable over the last few months.
Some homebuyers didn’t want to purchase a home due to the closing costs that would come with doing so, but the tax credit gave those people the ability to recoup some or all of the money that went to those costs.
While there have been mixed results for the tax credit program, love it or hate it, April seems to be the final month in which homeowners have to get under contract on a new home, as there looks to be no more extensions.
Again, those key dates for the first-time homebuyer and repeat homebuyer tax credit program are April 30th to be under contract and June 30th to close on the home.