Senate approves home tax credit extension
Our Realtor Representatives worked hard on this on. It will be a great relief for the Mortgage Lenders who have been swamped trying to get the loans approved and funded by the end of June. Not to mention, a great relief for the 180,000 Home Buyers that are trying to get approved by June 30th, 2010.
On June 16th, The Senate on approved a plan to give homebuyers until September 30th, 2010 to finish qualifying for the federal tax incentives that boosted home sales this spring. They have to have been under contract prior to midnight of April 30th, 2010.
These First-time buyers are eligible for a tax credit of up to $8,000. Current owners who bought and moved into another home could qualify for a credit of up to $6,500.
The unfortunate part of this; Business owners that are already under financial strain and being forced to lay people off to stay afloat are covering this $140 million cost. It will be be financed by denying businesses the ability to deduct from their taxes punitive damages paid when losing lawsuits or judgments.
Let's just hope the HomeBuyers waiting for this Incentive to come through don't loose their jobs because the business they work for can no longer handle all of the financial strain and increasing burdens put on them.