TAX CREDIT TO BE EXTENDED COMES WITH AN INTERESTING TWIST

I'm so happy to write about the new bill that has passed for the First Time Homebuyer tax credit privilege to be extended to APRIL 30, 2010! And the interesting twist is that, current homeowners can receive up to a $6,500 tax credit! The catch is that the property must be the owner's primary residence, with a minimum occupancy of 5 years, which really isn't too much to ask for, is it?

Pending contracts have a closing deadline of July 1, 2010, for buyers to take advantage of the tax break.

According to www.Realtor.org, the response to the current tax credit law, has generated a lot of money back into the real estate industry and the economy as a whole. Projections are high as $22 Billion. It's also predicted that 2 million people will take advantage of this real estate incentive. It would make sense to extend such a great offer, to get even more people from off the fence about buying now, in these recession times.

Nice incentive, indeed.

Generous Tax Credit Stimulates Real Estate Sales Before November 30

According to www.CNN.com, the deadline of November 30 has galvanized a significant upswing in real estate sales. Great for the economy, (first-time) homebuyers, and agents, it's not known yet whether or not the Tax Credit privilege will be extended to a later date. Homebuyers who purchase real estate prior to November 30, are qualified to recieve an $8000 tax credit. This perk was implemented by the government to push buyers and sellers who were on the fence, because of the worst economy that has hit since the Great Depression.

Mortgage rates and home prices are so favorable at this point, the article mentions that even more renters are most likely qualified for purchasing, without going outside of their financial means. It's encouraging "3 million renters who are now financially well-qualified to buy a median-priced home," without being strapped for cash.

On the flip side, foreclosures and short-sales are still predicted to be on the rise, as many homeowners seek resolution for not paying mortgages. This huge flaw has taught many future and current homebuyers to not go outside of one's budget. With so much inventory available, homebuyers can make sound decisions that won't leave a negative impact in their pocketbooks.