Time is on my side

…well, it COULD be.

According to a survey by the California Association of Realtors, nearly 40 percent of recent first-time home buyers said they would not have purchased a home if the federal tax credit for first-time home buyers was not offered. The program offers an $8,000 tax credit for first-time home buyers who purchase a home before December 1. (that doesn’t mean you have two more months to shop- your escrow must close by December 1, so you’d better hurry!)
“It is clear that the federal tax credit for first-time home buyers is working, as evidenced by the spike in home sales in recent months,” said C.A.R. President James Liptak. “This tax credit is arguably the most successful strategy employed by the government’s efforts to stimulate the housing market.

“Because the tax credit has helped so many first-time buyers become homeowners, it is critical that Congress extends the credit beyond the Dec. 1 deadline, and includes all buyers, not just first-timers,” he said.

A senate bill to extend the deadline to June 2010 was introduced last week and is supported by multiple real estate organizations, including the National Association of Realtors. “As we are fighting to get our economy back on track, we cannot afford to let lapse an important tool that has had had a positive effect on the housing market,” wrote the bill’s sponsoring Senator, Benjamin Cardin. “A six-month extension is a fiscally responsible way to provide adequate time to nudge even more prospective home buyers off the sidelines and closer to owning their part of the American Dream.”

If you’ve been considering taking advantage of the credit, you may need to act now. And just to be sure, a call or email to your senate representative wouldn’t hurt.

JERRY BAKER

GMAC REAL ESTATE PROFESSIONALS

530-524-8806

JBAKER@REDDINGLISTINGS.COM