Time is running out for Lucas and Wood County, Ohio residents to take advantage of the American Recovery and Reinvestment Act's $8,000 First -Time Home Buyer Credit.  To recap how this  works, the credit is equal to 10 percent of the purchase price of the home up to $8,000. The homebuyer must not have owned a home during the prior three years. The credit is refundable, which means the government gives the balance to buyers who meet the qualifications, even if their federal income tax liability is less.  But to receive this credit, homes must be closed on by November 31, 2009.  It generally takes 45-60 days to close on a home so now is the time to get busy and house hunt if you or someone you know might be eligible for this tax credit.

Will it be continued?  Probably not. There has been criticism in the media that this has been an unfair benefit to new buyers while sellers continue to see their home values eroded.  The intention has been to kick-start home sales again and it has helped to push us toward stabilizing the market.  The National Association of Realtors recently reported that home sales have increased in most of the nation in the 2nd quarter of 2009.  We're definitely seeing an uptick in sales in the area.

Pass this information on to anyone it may help.  I continue to be surprised at how many new buyers are not aware of this credit.