Congress To Consider Extending Home Buyers Credit To All

Currently, anyone that has not owned a home in the past three years and meets the income limits can receive the $8,000 home buyers credit. They must complete the purchase before December 1, 2009 though.

The current home buyers credit was passed in February, 2009 as part of Obama's stimulus package. It basically was an extension of the 2008 Housing Recovery Act. First-time home buyers could get up to 10% of the purchase price with a limit of $7,500 under that program.

Now members of Congress want to extend the home buyers program and even expand on it. They already have done this for those serving in the military overseas till November 30,2010. Read here for more on that extension.

Now there are numerous bills being worked on to extend the home buyers credit into 2010. Various extension periods have been mentioned, from six months to extending it through out all of 2010.

Some of the bills being worked on even include removing the first time home buyer requirement. This would allow almost everyone to participate in the program.

This would also help the real estate market to sell more houses in more price ranges. The current home buyers credit program has helped sale many of the lower priced entry level homes and some of those from foreclosures. In fact in 2009, first-time home buyers sales are up 25%. They are also making up 50% of all real estate sales.

The other changes some Congress members are talking about is to double the income limits for those that would be eligible for the home buyers credit. There are even some talking about increasing the actual credit amount.

One of these bills are expected to make it to the Senate floor next week. In this bill, the home buyers credit would be extended till June 30, 2010. It would be available for everyone and not just first-time home buyers. Also, the income limits would be doubled. They would become $150,000 for individuals and $300,000 for couples.

While the deadline for the current home buyers credit is quickly approaching, Congress has some work to do if they want to extend it before it ends. They have to decide if it will be available to everyone and for how long. Then they will have to begin work on figuring out how to pay for it.

Written by Denise Clay
Hickory, NC
Exclusive to HULIQ