Final Days to Get In On The Home Buyer Tax Credit

Posted by Judy Orr on Wednesday, April 28th, 2010 at 11:57am.

buyer tax credit dollarsFriday is the last day a buyer can qualify for the Home Buyer Tax Credit.  You must have a fully signed and accepted contract by Friday, April 30th, in order to qualify.  You have up to June 30th, 2010, to close.

I have been waiting for a Orland Park townhome short sale to get approved so my buyer would be able to take advantage of the tax credit.  Things weren't looking good and she was ready to move on.  Just yesterday I got the notice from the listing agent that the bank approved the short sale.

My buyer was losing her locked-in interest rate but could get a 10 day extension.  I am hoping that we can get this to closing (I don't trust that the short sale mortgage holder will have their act together in 10 days) so my buyer will have her Frankfort townhouse at her locked-in rate and qualify for the tax credit.

I warned my buyer about how short sales work and the length of time it could take.  I have another short sale contract that was accepted around the same time and no approval in sight.  I'm not sure if it is the listing agent or the mortgage holder, but each one promised a closing within 30-45 days, which did not happen.  The other buyers are not eligible for the tax credit so that is not an issue to them.  They just want to close on the home!

If you want to take advantage of the tax credit you should not be viewing short sales or foreclosures.  I have waited more than 2 weeks just for an answer on a contract for a foreclosure.  Remember, you need a signed and accepted contract by this Friday to get the tax credit.  That will mean you will have to deal with a regular seller sale as that is the best way to get an answer in a more timely fashion.

So many agents think it's funny that we now have a term for a "regular sale" vs. a short sale or foreclosure.  Happy house hunting!

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