House Approves Tax Credit Extension
The U.S. House on Tuesday agreed to give home buyers until Sept. 30 to close on eligible properties and still qualify for the home buyer tax credits.
The current deadline requires buyers to close by June 30 in order to qualify.
The Senate must still approve the measure. Supporters there are planning to tack the bill onto one that would extend unemployment benefits, hoping the popularity of the tax credit extension will overcome Senate objections to extending unemployment.
Practitioners estimate that at least 200,000 buyers won’t be able to close today because settlement offices are slammed, short sales are delayed,and lenders are overwhelmed.
Critics say extending the deadline is an invitation for more fraud.