Good news, everyone. The home buyer tax credit extension, after failing in the Senate last week, was finally passed by the House of Representatives earlier this week and the Senate late last night. The bill that includes the extension has been signed into law by President Obama on Friday, July 2.
Originally, before the extension, in order to qualify for the credit of a maximum $8,000 for first-time home buyers or $7,500 for long-time home owners, the house had to have been purchased (contracts signed) by April 30 and the sales had to have been closed by June 30.
This extension applies only to home buyers who met that first April 30 deadline. As the closing process can easily take more than 60 days, Congress approved an extension of the closing deadline to September 30. These two additional months will be helpful for those buyers whose closing has been delayed for any reason.
Unfortunately, this extension does not allow for new home purchases to qualify for the tax credit. The bill that was passed also doesn’t include the extension of unemployment benefits that was being considered in the bill that ended up failing in the Senate last week.
Photo: Cuba Gallery
Updated July 3, 2010 and originally published July 1, 2010. If you enjoyed this article, subscribe to the RSS feed or receive daily emails. Follow @ConsumerismComm on Twitter and visit our Facebook page for more updates.