The First Time Buyer Credit of $8,000 is about to end soon. The deadline is December 1, 2009. This means that you must close before this date in order to take advantage of the credit.
Again, if you were not aware of the $8,000 First Time Buyer Credit program, here’s a few key points.
- You must be a first time home buyer or not have owned a home within the last 3 years.
- You must close on the property before December 1, 2009 to receive the credit.
- This credit only applies to owner-occupied homes–not second homes or investment properties.
- This is a tax credit–therefore, you’re eligible to for a refund when you file your taxes the following year.
- For more information on the program, click here
Things to keep in mind if you’re sitting on the fence:
- Mortgage underwriting guidelines have become more rigid and thus the time to underwrite a mortgage has increased considerably.
- Inventories actually go down in the last quarter of the year, so the number of homes that could meet your criteria will be limited.
- Interest rates have finally dipped under 5%
Like a said time and time again on my posts, I don’t pretend to know what the future holds. Make the decision that’s right for you and you only. If you’re not ready to buy a home, then my guess is that the tax credit probably is not going to make much of a difference.
