By Carl Hampton
Christmas came early for many hard working Americans.
For once a government program that is really working and has turned out to be a real success, and this is the First Time Home Buyer's Tax Credit.
The program helps Americans to be able to afford a new home. This credit allows new homeowners to receive up to $8,000 from the IRS, that they don't need to repay. The funds go a long way to paying a lot of those extra cost incurred by home owners, property taxes, homeowners insurance and the cost of moving.
The program was designed to help stimulate the economy, and get the housing market moving again has proved to be very popular. The IRS has recently reported that more than 1.4 million taxpayers have benefited from this program since President Bush introduced it in 2008.
The program was due to finish on November 30th 2009 but, due to one of the few success stories of 2009, it was announced that a vote has been counted and a bill has been passed through both the House of Representatives and Senate, stating that this offer will be extended through 2010 for homes under contract by April 30th and that close before July 1st.
Also, the loan limits have been extended to allow higher loans to be passed through the FHA, Freddie Mac, and Fannie Mae, and a bill was passed, as well, to go on with unemployment benefits that in the past were set to soon expire.
Extending the amount on the loan limits will make more loans meet the criteria for these programs, and it will also keep mortgage credit more available for those people who are approved. In the end, it all boils down to more Americans owning their own homes and satisfying that great "American Dream" that we all try and work so hard for, while in the same breath helping to strengthen our economy.
The Mortgage Bankers Association petitioned the House of Representatives and Senate to put these necessities into place because they believe that these changes will help to bring back stability to the housing market, and we all know that stability in one corner of our economy will help to make other areas a little more stable, safe, and sound. With our delicate economy just beginning to show signs of finding a level playing ground, the Mortgage Bankers Association believes that we could put our recovery in real danger if the government does not take steps to keep programs such as this one working to give Americans incentives to move forward.
There may be some long awaited good news for existing homeowners, with a new $6,500 credit for existing homeowners who have lived in their current home for an uninterrupted five-year period within the past eight years.
Many of the new homeowners also took advantage of the Cash for Clunkers, it was an overwhelming success and helped to breathe some welcomed new life into the automotive manufacturing business and that good fortune trickled down not only to the factories but into the pockets of people in auto sales and also into any other business that depends on people buying new vehicles.
“Your” Money Matters By Carl Hampton Author of “From Credit Despair To Credit Millionaire” http://www.carlhampton.com
Source:www.isnare.com |
