California Housing Finance Agency Reinstates First Time Home Buyer Program

The federal and state tax credits for home buyers may be long gone, but there are still programs available to provide financial assistance to first time home buyers.

The California Housing Finance Agency just reinstated its School Facility Fee Down Payment Assistance Program (SFF), which offers a conditional grant based on the amount the school facility fees paid by the builder of a new home.

The SSF has two programs. The first aids first time buyers. The second aids buyers in specific economically challenged counties and waives the first time buyer requirement.

The aid allows new home owners to be able to fund their down payment, closing costs and any other costs that are associated with their first mortgage loan. 

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CA Tax Credit for New Home Buyers Nearly Gone

If your buyers plan to apply for the state tax credit, they need to hurry. According to the Sacramento Bee, the state Franchise Tax Board has received nearly 16,000 applications and reservation requests totaling about $103 million, as of Tuesday. The state has allocated $100 million for the credit.

But the board is encouraging buyers to continue applying for the credit since many of the submitted applications are duplicates. The board plans to accept at least 24,000 applications from qualified buyers of new homes to ensure that the full $100 million is exhausted.

So today's word of the day? Hurry!

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Photo credit: ambert

Tax Credit Closing Deadline Extended

Good News!  Yesterday both houses of Congress approved legislation extending the closing deadline for qualified first-time and repeat home buyer tax credit purchases from June 30, 2010, to September 30, 2010.

President Obama is expected to sign The Homebuyer Assistance and Improvement Act of 2010 into law in the next few days.  The extension only applies, however, to those home buyers who had a binding sales contract in place prior to May 1, 2010.

For home builders and lenders, this legislation provides an additional three months to complete construction and backlogged paperwork in order for home buyers to close on the home and still receive the tax credit.

If you'd like more news on the extension, please visit NAHB's consumer website www.federalhousingtaxcredit.com.

Federal Home Buyer Tax Credit Extension?

We just got word from our friends at NAHB that the US House of Representatives just passed a bill extending the closing date on the home buyer tax credit to September 30, 2010.  The current deadline is June 30, 2010.

The bill (H.R. 5623) passed by a vote of 409-5.  Vote tallies aren't available yet. 

Just last week the Senate passed a similar amendment as part of its debate on the tax extenders package, indicating that there is broad support in the Senate for the idea of extending the deadline.  The Senate is expected to take up H.R. 5623 tomorrow.

We'll post more as it becomes available.

Photo credit: Wallace Gobetz