The First Time Home Buyer Tax Credit of 2009 was given new life late last year. President Obama extended the original credit end date until April 30th for purchases and buyers under contract before then have until the end of June to close escrow and claim the credit. The credit has been a success to this point, helping to drive consumers back into the ailing real estate market.
There has been some talk in the media about 2010 being the rebound year for the economy. Home sales in several areas around the country are up and prices have stabilized or increased. However, foreclosures are still a problem in several states coupled with high unemployment. Considering the overall state of the union, I wonder if the government isn’t considering an extension of the credit into the fall.
Interest rates are still very low and there is plenty of surplus housing available. Consumers have been buying but new inventory coming on the market is still a factor.
What do you think?