Better Late Than Never! Congress Passes Extension for Homebuyer Tax Credit & National Flood Insurance Program

Congress burned the midnight oil the night of June 30th, but they finally passed extensions for the Homebuyer Tax Credit closing deadline and the National Flood Insurance Program (NFIP); through September 30, 2010.

The Homebuyer Tax Credit extension for the Homebuyer Assistance and Improvement Act (H.R. 5623) applies only to transactions that have been under contract on or before April 30, 2010 but have not yet closed. President Obama still needs to sign the bill into law, but the extension will be retroactive to June 30th so there will be no gap for closing taking place in these early days of July.

Likewise the National Flood Insurance Program bill is retroactive and will cover the lapse period from June 1, 2010, to the date the law is formally enacted.

The National Association of Realtors (NAR) worked closely with Congressional leaders to get both of these much needed bills passed, and NAR will continue to work with Congress on the full NFIP Reform bill. In the meantime, HAPPY CLOSINGS!