Extending the first time home buyer tax credit in Anchorage, Alaska

Wow, What an exciting time in the Anchorage Real Estate Market this last week.
At the top of the list in my opinion is the looming extension AND expansion of the tax credit for homeowners. Originally, the program was set to expire at the end of November. Senators have now proposed extending that eligibilty to buyer's who purchase by April 30 and close by July 1, 2010.
As a Realtor in Anchorage, I have seen the positive effects that this program has had. It has increased sales in our local market and the national one too. The National Association of Realtors is reporting that home sales are up for several months in a row, before dropping slightly. This drop can more than likely be attributed to the upcoming expiration date of the program.
A first time homebuyer is eligible for an up to $8,000 tax credit. That's a lot of money. And for clarification, a first time home buyer isn't just someone buying for the first time. It is also someone who has not owned a primary residence for the last 3 years. That opens up the market to even more home buyers.
Now, please notice that I included mentioned an expansion of the credit. Senate negotiators were able to include in the revised program a credit for up to $6,500 for homeowners who have been in their home for 5 of the last 8 years. Another nice chunk of money for homeowners.
The debate goes on about the merits of this program (as well as the rest of the Obama Stimulus Package) but consider this. The package consists of $787 Billion. Thats a lot of zeros. Of all that money,less than 1.5% is set aside for the homebuyer tax credits. A small drop in the bucket, until you are the guy who's thirsty(for that credit).

Click on the following link to the IRS website to see a list of the FAQ about the program, eligibility requirements, etc.


http://www.irs.gov/newsroom/article/0,,id=206291,00.html