Proposed Extension to Federal Tax Credit Closing Deadline

$8000 Tax Credit Closing Date Extension

A bill has been introduced that would extend the “closing date” for the Home Buyer Tax Credit. The original deadline to have a fully executed purchase agreement was April 30th, 2010 and that has not changed. However, one of the criteria in order to be eligible for the Tax Credit was closing before June 30th, 2010 and many buyers will not make it. So there was a measure introduced to extend that deadline to September 30th of this year instead. The measure was offered as an amendment to H.R. 4213, a tax extension bill now in the Senate.

I don’t mind this at all as I have a few clients that have purchased homes that are short sales. These homes typically take much longer to close and buyers are at the mercy of the banks which are totally swamped with distressed properties.