$8000 First Time Buyer Credit Expiring

The federal income tax credit of $8,000 for first time home buyers is set to expire on December 1, 2009. The American Recovery and Reinvestment Act of 2009 authorizes this credit for persons who have not owned a home during the previous 3 year period and want to purchase a primary residence. Congress is debating the issue of extending this credit into 2010 because of the positive effect it has had on the real estate market. Here in Myrtle Beach and across the nation, there has been a measurable increase in home sales over the last 4 months, with many foreclosure and REO properties being snapped up by eager buyers.

With the tax credit available immediately to use for a down payment or closing costs through a short term loan program, many people who otherwise would not qualify for mortgages are able to get into a home and this boost is fueling the resurgent market. All the paperwork for this credit and closing must occur before December 1st, so anyone wanting to take advantage of this program need to begin the process as soon as possible.