We have noticed a bit of a buzz these past few months from potential homebuyers who were rushing to get pre-approved for a loan so they could make the deadline to qualify for the First Time Homebuyer Tax Credit. The maximum credit for a first time homebuyer is $8000. There is also a $6500 credit if you already own a home. In order to qualify, the buyer had to have an accepted sales contract by April 30, 2010 and close by June 30. So, in other words, if you made the sales contract deadline of April 30, you had 60 days to close your loan. It appears that across the nation, 60 days was not enough time for many of these buyers to close; and Realtors and lenders appealed to the government for an extension. On Wednesday, the Senate voted to extend the credit 3 more months but only for those buyers who have a signed contract as of the April 30 date. The House of Representatives still has to vote before it becomes law, which may be after the June 30 date.
So the good news for those buyers who got their contracts signed by April 30, is that you may have until September 30, 2010 to close!
Are you a buyer working another lender still trying to close a deal that has been backlogged or delayed? Feel free to contact one of our loan officers to see if we can expedite your loan approval to a 30 day close. And if you missed the April 30 contract deadline, the good news is that rates are at an all time low and on top of that Honolulu HomeLoans is offering a 0.250 point discount on all new purchases, so it’s still a great time to buy!
