Closing Deadline for Home Buyer Tax Credit Extended to September 30, 2010

July 2010Newsletters In the Zone

On July 2, 2010, President Obama signed into law legislation to extend the deadline to close for the popular home buyer tax credit program. Under the tax credit's prior deadline, qualifying purchases that were under contract by April 30 were required to close by June 30. As reported by the Miami Herald, an estimated 180,000 consumers eligible for the government's tax credit were at risk for losing the benefit due to a huge backlog by lenders hindering their ability to complete the transaction. Under the latest extension, consumers have three more months to seal their deals. The closing deadline has been pushed to September 30, 2010, in an effort to ensure that qualifying sales can close. According to the realtors, 4.4 million people have taken advantage of the various home buyer tax credits offered to consumers since February 2009. The tax credit helped fuel a major sales spike immediately before the qualification deadline in April. The Commerce Department reported that sales of new single family homes were up 14.7 percent that month.

For more information, please contact Clair E. Wischusen at 215.918.3559 or [email protected].