November 6th, 2009 10:02 AM by Brian Banak
In case you didn't hear the news, the Senate and House voted in favor of extending the first-time homebuyer tax credit. The legislation extends, through April 30, an $8,000 first-time homebuyer tax credit and creates a new $6,500 credit for homebuyers who have been in their current residence for the last five years or more.
The Senate unanimously voted Wednesday night (98-0) and the House just passed the bill on Thursday afternoon (403-12).
President Obama is expected to sign the legislation on Friday, November 6.
For more information about legislation, click on the link below: http://www.realtor.org/fedistrk.nsf/files/government_affairs_tax_credit_ext_chart_110409.pdf/$FILE/government_affairs_tax_credit_ext_chart_110409.pdf
It is my personal opinion that the $8,000 should have been extended. It was a mistake to have the orginal credit expire on 11/30, just as the real estate market enters a traditional slow period. However, I don't think that the second credit of $6,500 was necessary. The $8,000 credit seemed to be working quite nicely. Eventually, all of this money will have to be paid back.