Buying First Home? Clock Is Ticking

Four months ago, I wrote an article about the First-time Home Buyer Tax Credit that offered an $8,000 tax credit to qualifying buyers. At that time, the offer was slated to expire at the end of November 2009, but it was extended to the end of April 2010. There are no guarantees that the tax credit will be extended again, so if you are looking to buy your first home, you don’t have much time remaining.

While researching my follow-up on this article, I discovered that the benefit was expanded to more than just first time homebuyers. People who haven’t own a home in more than three years are also able to participate in the tax benefit program. Additionally, homeowners who have lived in their current home for five of the past eight years are eligible for a reduced tax credit worth up to $6,500.

With this expansion of qualifications, the cost to the government is bound to rise. And with all the focus on the rising national debt, it is possible that Congress will not extend the program again. If you are planning to buy your first home, or if you are a qualified homeowner as listed above, your chance to take advantage of this tax credit is running out.

Buying First Home? For more information on the First-time Home Buyer Tax Credit, I’ve discovered the following video released by Coldwell Banker Real Estate that you might find useful. As a person trying to find a home, I can tell you that the time to process your loan paperwork can be lengthy, so don’t wait until the end of April if you can avoid it.