Homebuyers Assistance and Improvement Act of 2010 (H.R. 5623)
This morning (Friday, July 2, 2010), President Obama signed into law the Homebuyers Assistance and Improvement Act of 2010. (Source: Whitehouse.gov)
Home buyers who were under contract to purchase a home on or before April 30 now have until September 30 to close on the transaction and qualify for the homebuyer tax credit.
This three month extension to complete the home purchase will, according to the National Association of Realtors (NAR), allow approximately 180,000 eligible home buyers to receive the tax credit. Assuming of course they meet all the other criteria and close by September 30.
There are almost two dozen articles on our little real estate blog about the homebuyer tax credit. Maybe (hopefully) this will be the last one. Perhaps we should start a pool to guess when the cries for yet another extension start up? I can assure you there will be home purchase contracts, particularly on short sales, that still won’t be closed by the new September 30 deadline. My guess is come Sept 1, there will be calls for an extension to the extended extension date. At some point,the government has to let this thing end.
For now, those that missed the original closing deadline of June 30 can relax. You’ve got until September 30 to get your home purchase closed.
National Flood Insurance Program Extension Act of 2010 also signed into law
In other real estate legislation news, the President also signed H.R. 5569, the National Flood Insurance Program Extension Act of 2010, into law. This law retroactively reauthorizes the Federal Emergency Management Agency (FEMA) to enter into new contracts for flood insurance under the National Flood Insurance Program (NFIP) through September 30, 2010. The NFIP ended on June 1, stalling many home purchase transactions. The extension is retroactive and any new flood insurance policies or renewals and waiting periods are effective from the date of application.