Home buyer’s Tax Credit – Military Extension
Good news for military in the market for a new home, the federal government is extending their $8,000 tax credit. The deadline to cash in was Friday April 30, 2010 for non-military, but it has been extended for service members.
Our military is being offered an extended opportunity to take advantage of the tax credit. If you are in the market to buy or sell now is the time.
A military member who served at least 90 days out of the United States between January 1st, 2009 and April 30th, 2010 will qualify. The tax credit extension is good until April 30th, 2011. The credit is $8,000 for first-time home buyers and $6,500 for repeat buyers.
The rule that required buyers to repay the credit if they move out of their home within three years has been waived for service members that have to sell their home after receiving government orders.
Realtors say it’s even turned up as an advantage for sellers. Buyers have been given a great incentive to stop dragging their feet and go ahead and buy. More buyers equals numerous bids on listed homes. Sellers are being offered top prices from buyers who are reaping the benefits of this great opportunity to get into a home.
Flood Insurance Program Not Extended
While most areas of Montgomery County, TN and Christian County, KY sit at a high enough elevation that major flooding isn’t a problem, for those who do live in a flood plain, Friday was a significant day.
That was because the Senate adjourned last Friday without extending the National Flood Insurance Program. This lapse came as the result of a House bill that would have kept the program in place until April 30 failing, due in large part to a number of other included, but unrelated provisions that could not be agreed upon.
There are currently bills in both the House and Senate that would extend the NFIP until Dec. 31, however for the time being the NFIP has lapsed. Those who already possess flood insurance under Federal Emergency Management Agency guidelines will retain their coverage, however it has yet to be seen what will happen when a transaction requires flood insurance but it is unavailable.