The extended Home Buyers Tax Credit is really appealing to what realtors are calling "move-up buyers". Now, you don't have to be a first time home buyer to qualify, which is good if you want to relocate, or buy a second or third house.
For first time home buyers, the same rules still apply. You qualify for 10% of the first $80,000 you spend on a new home. This adds up to a maximum of $8,000. It works the same way for move-up buyers, but up to $6,500. The catch is that the new home must be your primary residence.
Don Radke is with the CNY Realtor's Association, and says the new incentives are bringing out buyers. Demand died down while the program waited to be extended, but there is a sudden spike in time for the holiday season. Radke says, "One thing we're advising people is if you can buy, in the next couple of months, do so. What we fear may happen is come February, after the holidays, everyone gets back in the market. Now you're only gonna have 60-90 days to purchase and we think there's gonna be a rush, a tremendous demand and we think prices will go up."
To qualify, Radke says you must make a purchase offer on a home by April 30th of 2010, and close on a house by June 30th. Given the time it takes to finance and work with banks, the sooner you get started, the better.
