It’s Now or Never for First-Time Home Buyers Hoping to Capitalize on $8,000 Tax Credit
MORRIS PLAINS, N.J.- September 9, 2009 – (RealEstateRama) — The $8,000 tax credit enacted earlier this year by Congress, along with the today’s affordable home prices and low interest rates, has helped make the dream of homeownership a reality for countless Americans. However with the tax credit set to expire after November 30, many would-be buyers will miss out on this affordable opportunity to purchase a home if they do not act immediately.
Since closing on a home typically takes between 45 to 60 days, buyers wishing to claim the $8,000 tax credit will need to be under contract to purchase a home within the next two weeks. Waiting any longer than that could jeopardize their chances of receiving the large financial incentive that is currently being provided to first-time buyers by the Federal government.
“First-time buyers are seizing on one of the best buying opportunities in recent memory,” said Jim Weichert, president and founder of Weichert, Realtors, one of the nation’s largest independently owned real estate companies. “But it’s now or never for those who want to take advantage of the tax credit while it is still being offered.”
Recent news suggests many first-time home buyers have already seized on the favorable buying market. The National Association of Realtors announced for the first time since 2001, contract activity for pending home sales increased for six straight months. Also, according to the U.S. Commerce Department, in July, single-family home sales rose 9.6 percent and sales have increased a total of 31.6 percent since January of this year.
To receive the $8,000 tax credit, a first-time buyer must purchase and close on a principal residence before Dec. 1, 2009. First-time buyers, as well those who haven’t owned a home in more than three years, who purchase a home by November 30, may be eligible to claim all or part of the tax credit based on their income level. Congress will even allow individuals to still claim the credit as part of their 2008 tax return if they file an amended tax return. Individuals can also elect to receive the credit on their 2009 tax return. As with any tax law, individuals should check with a tax advisor to discuss any specifics regarding the use of this provision.
Weichert has nearly 18,000 sales associates in approximately 500 company-owned and franchised sales offices in key markets throughout the U.S. A family of full-service real estate and financial services companies, Weichert helps customers buy and sell both residential and commercial real estate, and streamlines the delivery of mortgages and home and title insurance. For more information, Weichert’s customer service center can be reached at 1-800-USA-SOLD or at Weichert’s Web site, www.weichert.com. Each Weichert franchised office is independently owned and operated.
