Could it be the end of the $8,000 Federal tax credit for first time home-buyers? The one thing we know with certainty is the program is currently set to expire on November 30th. Without action from Washington, time is of the essence in order to successfully complete a purchase transaction before the deadline.
Given the current mortgage and real estate environment transactions take longer to complete than they have in the past. Bank owned and properties with positive equity are really the only options now as short sale properties typically take longer to negotiate and close. While historically low mortgage rates, abundant inventory and low prices are attractive factors, the tax credit will soon be removed from the decision making process.
Lawmakers comment on extending and or expanding the Federal Tax Credit. No formal action has been announced.
The House voted to extend the tax credit through 2010 for Military, Intelligence, and diplomatic personnel provided they were out of the country on active duty for at least 90 days in 2009. H.R. 3590 now goes to the Senate and timing and process for its consideration are unknown.
Tax Credit qualifications
View qualifying property in metro St. Louis