The Homebuyer Tax Credit Gone the way of the Dodo

photo credit: Auzigog

Everyone wanted to see something happen to help the housing market, most thought the Homebuyer Tax Credit was a good idea. People who had the housing markets best interest in mind wanted it, people such as the National Association of Realtors and the National Association of Home Builders who actually lobbied for the Tax Credit. However, after everyone saw the aftermath most realized that pumping false spikes into the industry clearly was not the answer. After the expiration of the Tax Credit people were so scared that nobody bought and the industry took a steep downturn. It just wasnt worth it. Its best that we let the Homebuyer Tax Credit go the way of the Dodo.

It did help many people get into a house, more emotionally than financially, the incentive was not really that much, it simply helped people get excited about the purchase of their lives and give them that little push. However, there was really no reason for the extreme dip after it expired, people just became emotional about it and the industry panicked. No one wants to see the numbers take a dive like that again, so congress is not even considering reinstating the Homebuyer Tax Credit, it seems that it is truly gone.

There are efforts underway to restore the system, such as the FHAs announced Short Refinance Program last March; they just released instructions in August for a September release. Everyone will keep a close eye on the FHAs program wondering if it will be a repeat of the Tax Credit or will it actually help the industry get back on its feet and help people stabilize a little. As reported by the San Francisco Chronicle, neither the National Association of Realtors nor the National Association of Home Builders has an interest in bringing the Tax Credit back from the dead.

Read the full story from Inman News

Posted on September 07, 2010 11:17:50 by Blog Author