Real Estate Market: Extension of tax credit closing deadline

  There are a lot of rumors going around that the tax credit deadline for closing by June 30th has been extended. I just wanted to people to be informed and know that this is not the law as of yet. The article below is the latest news on this issue. The Senate has agreed on the change but it is wrapped up in a bill with many parts to it. For this to be approved and made a law will take several more steps. So, keep in touch with this and don’t assume that you will be able to close beyond June 30th and still get your tax credit.  I will try to keep you updated on this issue as the news comes out from Washington on this issue. Some of you are waiting on pins and needles to hear if Congress will allow homebuyers more time to close on deals signed by April 30 with the expectation of a $6,500 or $8,000 tax credit, so I checked in with the National Association of Realtors for an update. Trouble is, the amendment the Senate approved last week — which would push the June 30 closing deadline to Sept. 30 — is attached to a bill that is far from a sure thing. The American Jobs and Closing Tax Loopholes Act “is a Christmas tree, it’s got everything in it, all kinds of stuff, and it looks like that bill is going to have a really tough time to be moved in the Senate,” said Lucien Salvant, a spokesman for the Realtors group. “The Senate has failed twice now to end debate on the major jobs creation bill, so I’m not sure what’s going to happen,” he said. The trade group believes that as many as 180,000 buyers are in danger of missing the June 30 closing deadline, many of whom are trying to settle on short sales — notoriously not short when it comes to the time involved. Even if the Senate does approve the overall bill, it will have to go back to the House for a vote, Salvant said. The Realtors are hearing no objection for the extension from House leadership, he said. So he thinks it will happen. “But I don’t know when,” he said. .

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