There have been reports that the first-time home buyer tax credit and repeat homebuyer tax credit may be extended beyond the June 30th deadline. Many homebuyers were able to meet the April 30 deadline and get under contract well before the expiration date but when it comes to closing things can be more difficult. There are those who say that having a deadline in which a homeowner must close is ridiculous as closing on a home can take only a few weeks or it may take a few months.
Many people believe that this extension will be passed as there are numerous homebuyers that may lose out on this tax credit since they will not be able to close by June 30th. The homebuyer tax credit program prompted many homebuyers to enter the housing market as homes were very affordable, interest rates were low, and this tax credit incentive made buying a home a financial possibility for many people.
It’s believed that Congress will soon vote on the tax credit extension and there are few people who feel that this measure will not pass. This will be a welcome relief for many home buyers who fear that they may not be able to meet this June 30th deadline and therefore will be disqualified from taking advantage of this tax credit.
Keep in mind this extension is only for homeowners who met the first deadline and are under contract on their home. Homeowners are simply asking for more time to close on their home as estimates say that there are possibly thousands of homeowners, perhaps even over 100,000 homeowners that may be unable to make the June 30th deadline.