*This is a corrected article from a previous posting*
The National Association of Realtors beat their drums loudly enough on the steps of Capital Hill to get Senate to approve an extension of the First Time Homebuyer Tax Credit. The Senate voted in favor of this extension 60 - 37. It now faces debate in the House before it is passed into law.
But don't jump out of your seats just yet real estate community! The tax credit extension is only for those who were already under contract before the previous deadline of April 30th, they now have until September 30th to close and receive the $8000 first time buyer credit. This extension is from a close date of June 30th.
The most compelling reason for this extension was do to the high volume of Short Sales that are currently under contract and are not on scheduled to close by the June 30th date. This is because Short Sales require bank approval on the Seller's side, and most large banks that are being asked to approve Short Sales are simply over inundated with such requests that they are just backed up.
The real estate community is comprised of Real Estate Agents, Investors, Builders, Buyers and Sellers who are very worried that the expiration of this Tax Credit will kill the momentum of the previous 12 months that saw Cumberland and York counties sales volume spike 72% and 65% respectively for the month ending April 30th.
The question is still in the air on whether the Tax Credit that has revitalized a dead housing market in Maine and the rest of the country will be extended again to include new buyers. But one thing is for certain, the lobbyists in the NAR will certainly make their case before Congress once again, and again, and again, and again.
Update: The Senate has approved this bill 60-37, however it has not yet passed the House of Reps, and therefore is not yet enacted as legislation. Look for another report on the final outcome of the vote on Capitol Hill.
www.MartymyRealtor.com
Comments
The SENATE passed it but are you that congress passed it as well? I thought congress wasn't in session today.
Are you sure its approved? From what I am seeing just the amendment to the bill has passed the senate and it still needs to go back to the house for a re-vote. Not seeing any other info online saying that it did pass.
I dont see any other info that it passed either besides senate. Where did you get your info?
Pretty sure this is bad info
I'm almost certain Nate is right...I think Portland should be looking for a new Real Estate Examiner soon...one who knows he/she has their facts correct.
This announcement is premature. Senate passed an amendment to a bill that would provide the extension. Senate still has to pass the bill, as does the House. I assume Prez will sign if passed.
Wow! Great "news." Too bad you didn't do your homework. This bill has not been passed, and don't expect it to pass anytime soon at the rate our government moves... It's not going to do anything to help the market anyway. We need REAL economic stimulus!
Please post if anyone knows if this is correct. I have heard it passed congress but still needs to go through senate and president. I am a homebuyer who will be effected by this as I was supposed to close on the 23rd but can't due to the flood reform bill not being passed. We only rushed to buy a home for the tax credit, so if the extension doesn't get passed we are done! If anyone knows any further information or any mortgage companies who are allowing people to close with out flood insurance (though it is needed), PLEASE POST!!!
The Senate passed it - the house should vote next week - then the president has to sign it. Considering that this is a bill sponsered by Reid and the house is a democratic majority It WILL pass. They will most certainly push this through before the end of June....
This bill has not passed!!! It was passed through the House but needs to be passed by the Senate and then the prez - per my tax accountant.
The SENATE and the HOUSE OF REPRESENTATIVES make up CONGRESS. Only the SENATE has voted for the extension at this point. It must also Pass in its HOUSE vote before being sent to the President. Doesn't anyone pay attention in Civics Class anymore? Maybe we need an Education Tax Credit? Then maybe people can be educated enough to write correct facts instead of reporting incorrect and misleading information.
As state previously - Its has passed the Senate and the House is likely to vote on it this coming week. With the amount of (usually hated by me) Democrats in the House of Reps, this should be an easy vote. The presidet (who I didn't vote for but love right now) will sign off on the bill once submitted to his desk. I know its June 20th but I would say there is a safe bet that this will be finalized by June 30th.
Another thing - I am so tired of people sending me emails (My own attorney included) as to this being passed because the Senate voted on it. The House is next then Obama. If you want to bet on the House and pres signing on this please hit me up - as I will gladly take your money as they will in this coming week. There is a genuine need to support buyers stuck in short sale BS and I'm wondering why some republicans are opposed to such a measure - especially since I have always supported the fiscal principals... I am on the Dem side on this one. For those of you trying to close on short sales I'm sure you agree...
why doesn't Congress just go ahead and extend the new homebuyers credit until the end of the year instead of putzing around with an extension here and a change there. We need all the stimulus we can get to get these houses moving!!!!!
Another thing - I am so tired of people sending me emails (My own attorney included) as to this being passed because the Senate voted on it. The House is next then Obama. If you want to bet on the House and pres signing on this please hit me up - as I will gladly take your money as they will in this coming week. There is a genuine need to support buyers stuck in short sale BS and I'm wondering why some republicans are opposed to such a measure - especially since I have always supported the fiscal principals... I am on the Dem side on this one. For those of you trying to close on short sales I'm sure you agree...
"why doesn't Congress just go ahead and extend the new homebuyers credit until the end of the year instead of putzing around with an extension here and a change there. We need all the stimulus we can get to get these houses moving!!!!!"
This is an extention for those who had an offer in place prior to April 30th.. 90 Days should be enough to close a majority of the pending short sales....
The earliest the house can vote on this bill is tomorrow afternoon. Today was a Pro Forma Session only. Tomorrow the House meets at 12:30 EST.
Figured this YouTube video might help out anyone not sure about how a bill becomes a law.
Schoolhouse Rock- How a Bill Becomes a Law
www (DOT) youtube (DOT) com/watch?v=mEJL2Uuv-oQ
Hoping this thing passes real soon!
The Senate didnt pass this. It was an amendment to a bill. The amendment was attached but the bill failed to pass and was sent back to committee.
I found out today it was facing a challenge, thought it was a done deal. I'll write a correction article when the bill is finally dead. Thanks for the correction y'all!
"why doesn't Congress just go ahead and extend the new homebuyers credit until the end of the year instead of putzing around with an extension here and a change there. We need all the stimulus we can get to get these houses moving!!!!!"
This is an extention for those who had an offer in place prior to April 30th.. 90 Days should be enough to close a majority of the pending short sales....
I'm still wondering this myself. I am one of those potential buyers whose pending sale has been delayed. It would be wonderful if there was an extension.
The original reporting of this was totally bogus. The Senate only passed this as an amendment to a bill they knew was going to lose. The purpose was so the "can't get anything done Democrats" could have something to blame the Republicans for (the bill received no Republican votes, but the Democrats have a 59 to 41 majority in the Senate but still couldn't get it passed). The bill was voted down in the Senate yesterday as expected. Your blog has given false hope to hundreds if not thousands of first time home buyers whose closing is being delayed. The Democrats could have easily passed this as separate legislation because the extension amendment was passed by an overwhelming majority. But that wasn't their intent. This was just a political football to make the Republicans look bad.
Here is a good article about what is happening. www (DOT) bit (DOT) ly/bVPog8
Don't hold your breath, Nate. Lets see...help 180,000 home buyers get the credit, or make the Republicans look bad...This is politics plain and simple. I hope I'm wrong. My daughter and son-in-law will lose out on $6000.
Also September is spelled incorrectly in the headline.
It does not matter any way. I have been waiting for 8 months on my return and am still getting letters all to prolong paying it out. My sugestion is if you are buying a house now just to get the credit dont. IT WILL NEVER COME!
How long does it take to get the credit?
We were disappointed to hear that there was only an extension for the closing date, and not the date of April 30th when your contract had to be signed. We signed our contract May 1st not realizing that the day you had to close by, was going to be extended. Had we known this, we would have made sure to schedule our contract signing one day prior. We will also be closing on our home before Sept 30th. Wish there was a one day grace period for that.
http://www.prime-targeting.com/homebuyers-tax-credit-might-be-coming-bac...
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