Mortgage News Blog

     If not, what are you waiting for? It can take a week to several months to find a home plus housing inventories are shrinking.  

     The extension of the First Time Home Buyers Tax Credit is being attached to the bill that would extend unemployment benefits. At present, it seems that the Senate and House have agreed to all the attached amendments to this bill and President Obama has indicated he will sign it. We are looking for approval this coming week with the President signing it shortly afterwards.

     There are also basic changes to this Tax Credit besides extending it.

     The most important differences are the increases in income to qualify for the tax credit and providing an incentive for present homeowners to buy up. Here’s what we know about the bill so far:

• First Time Home Buyers will have until April 30, 2010 to be in contract. In other words, have an agreed upon purchase and sale agreement signed by buyers and sellers.
• Homebuyers will have until June 30, 2010 to then complete and close their purchase transaction.
• Income levels to qualify for the full $8000 will be raised from $75,000 to $150,000 for singles and $125,000 to $250,000 for couples.
• Homeowners who have lived in their homes for  5 years will qualify for $6,500 tax credit when they sell and buy another home within this same period of April 30, 2010 for signed purchased and sale agreement and close by June 30, 2010.
•  There is a limit on how much house you can buy-$800,000. This is good news for homeowners who do want to move up into the higher home values.

     So far, the IRS reports that 1.3 million borrowers have taken advantage of this tax credit. Or in dollars, $8.5 billion dollars have so far been claimed against the $13.6 billion that has been set aside by the government. Don’t let this $8000, your money, be left on the table. Congress won’t be extending this again.

     This is the time to buy. Housing values are still down and so are mortgage interest rates. Don’t miss out on this opportunity to purchase your own home.

      Please pass this on to your family, friends, and colleagues. And as always, I would also be more than happy to assist you and  them towards purchasing a home.

      Follow me on twitter @mmtgsolutions for daily updates on the mortgage interest rates and what to expect for the day.If the bond market moves or one of the many economic reports moves the market in a significant manner, I’ll update there as well as write about it here. Or you can follow me on Facebook at Axia Financial “The Moore Mortgage Solution”.

     Please remember, I welcome your comments to this and my other posts. Have an inspired week.

     Betsy Moore

     206-331-2749