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Bills would extend tax credits beyond first time home buyers

The real estate market is getting a bit better, and much of the action is taking place among first-time home buyers.

And why not? There are some really great deals at the less-expensive end of the market; first-time buyers usually don’t have an existing home that they have to unload before buying a new one; and let’s not forget that very attractive $8,000 first time home buyer tax credit from the federal government.

“But wait!” you say.  “What about me?  I’m not a first time home buyer, but why shouldn’t I get that $8,000 tax credit, too?”

Well, maybe you’re right. At least that’s what two members of Congress from the Dallas area think.  They have introduced legislation that would make the $8,000 credit apply to everyone and all houses. Not only that, but they would extend the tax credit all the way into 2010. The current tax credit only applies to homes purchased by Nov. 30 of this year.

The legislation comes from Rep. Kenny Marchant, a Republican, and Rep. Eddie Bernice Johnson, a Democrat. They have filed separate bills to expand the reach and the time limit for the tax credits. Marchant’s bill also includes a $3,000 credit that could be used by people refinancing their existing loans.

You would think that home builder and realtor lobbying groups would be all for these new bills. But they are acting cautiously because they don’t want anything to undermine the current tax credit which expires at the end of November.

There is plenty of legislative business already on the House calendar, so don’t expect fast action on these bills.  But that may change later in 2009, after members return from their summer recess.

Tags: tax credits

This entry was posted on Monday, June 15th, 2009 at 6:34 am and is filed under Mortgage & finance, pinellas county, tax credit. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

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