Think about this for a moment, and then think how idiotic it is. Everyone--buyers, sellers, agents, attorneys and especially lenders--to get deals closed before June 30th, so buyers can take advantage of the first-time buyer $8000 tax credit. Because of the overload, Congress has been considering extending the closing date deadline. So when do they finally vote and approve the extension? Yesterday, a day before everyone needs to close. Your elected representatives, ladies and gentlemen.
The House of Representatives voted on Tuesday to extend by three months the closing deadline for the home buyer tax credit, setting the stage for a possible last-minute reprieve with Wednesday’s deadline looming.
The extension of the tax credit worth up to $8,000 isn’t a “sure thing” yet. The Senate still needs to pass the House measure, and President Obama would have to sign it into law.
The Senate had approved a similar provision earlier this month, but it was included in a larger tax package that failed to secure enough votes when it was considered last week. On Tuesday, Senate Majority Leader Harry Reid (D., Nev.) said he would again try to bring the extension up for a vote, along with other measures, including retroactively reinstating federal unemployment insurance benefits.
In recent weeks, lenders and real-estate companies have warned of bottlenecks that could lead thousands of potential buyers to miss out on the credit that they thought they were getting.
Congress first created a tax credit for homeowners in 2008. It was extended and expanded twice during 2009. The most recent extension said that house purchase contracts would have to be signed by April 30, and home buyers would have until June 30 to close on those sales. The House proposal would give buyers who met April’s contract deadline until Sept. 30 to finalize those purchases. The credit wouldn’t be available to buyers who weren’t under contract before April 30, though the change has raised concerns that some tax-cheats might submit bogus claims.
View original article here: http://blogs.wsj.com/developments/2010/06/29/will-congress-extend-the-tax-credit-closing-deadline/
Blogger Matthew Allan is a specialist in Savannah Real Estate, focusing on Savannah's downtown historic districts, including the Landmark Historic District, Victorian Historic District, Thomas Square Historic District, Starland Historic District, Baldwin Park, and Ardsley Park Historic District.
No comments:
Post a Comment