What do you think about this solution to the tax credit issue?

I think it's better than quiting the stimulus cold turkey and causing a mad dash for Dec. 1st deadline.

“Perhaps the solution is a compromise between extending the credit and standing firm with the deadline. The Government could spur home sales the most if they extended the first time home buyer credit with the qualifier that only properties under contract as of December 1st, 2009 would qualify. This would give a substantial reason for all the current short sale buyers to stay with their contracts.”

source:

http://www.antiochgrove.com/2009/10/08/8000-first-time-home-buyer-tax-credit-stimulus-package-to-extend-or-not/

Direct Link:
[url=http://www.antiochgrove.com/2009/10/08/8000-first-time-home-buyer-tax-credit-stimulus-package-to-extend-or-not/]Antioch Real Estate[/url]

Interesting........

I'm not in favor of govt stimulus programs or bailouts, but I am actually hoping they extend this program because the tenant of my most valuable home is considering buying it. Yes, I would like to sell it to her. But no, we are not going to get the deal done before the present program expires.

If nothing else they should allow buyers that have gone under contract extra time to close due to the backlog of buyers rushing in to get there properties closed before Nov 30th. Maybe something like all buyers under contract by Nov 1 will be allowed to take advantage of the tax credit but need to close within 45 to 60 days in order to qualify, or maybe by Dec 31st.

It seems to be the latest rumor that is gaining steam is they will allow this tax credit to expire as scheduled and start it up again in January to extend through June 2010.

Here in the Minnesota, we are seeing a mad dash of buyers attempting to close by November 30th. There is really a limited number of properties for sale on the MLS and we need more inventory.

Honestly, I do not see much of a slowdown over the winter months as prices are still so low!