Time is nearly out on the homebuyers tax credit.
Qualified applicants have until Friday to make an offer on a home, which could score them a chunk of change to put toward their down payments, furnish their homes or put into savings.
Under the plan, $8,000 is available for first-time homebuyers who have bought or will buy their homes between Jan. 1, 2009, and April 30. If a binding sales contract is signed by April 30, the purchase can be completed within 60 days, or by June 30, to qualify.
The repeat homebuyer tax credit of up to $6,500 applies to houses sold between Nov. 6, 2009, and April 30. Like the first-time credit, if a binding sales contract is signed by April 30, the purchase can be completed by June 30 to qualify.
The program’s success will be judged not only by home sales in April (which should be released by Chandler Reports in the first week of May) but also by sales throughout the summer. In other words, did the credit create enough of a spark for an industry that has struggled for the past two years? Or will activity drop once the promise of cash back is gone?