by Pat Zaby
June 4, 2010 8:57 AM
This would have been a good April Fool's joke except it is true for some people.
The Federal tax credit of $8,000 for first-time buyers and $6,500 for existing homeowners does have an extended expiration date for Military, Intelligence and Foreign Service members who have had 90 days active service or more outside of the U.S. between January 1, 2009 and April 30, 2010.
If a person qualifies for this extension, the contract must be written by April 30, 2011 and the property must close by June 30, 2011.
Another interesting distinction made for this qualifying group is that the recapture of the credit is waived if the buyer receives government orders to relocate prior to the normal three year period.
This exception is a great opportunity for buyers who qualify for the extension and can qualify for a mortgage in today's tougher credit environment. Don't expect them to know about the extension. You'll need to keep this in your tool kit and pull it out when it is appropriate.