On September 30, 2010, the tax credit for First Time Home buyers and replacement buyers finally expires. Assuming the buyer qualifies for the tax credit (the contract had to be fully ratified by April 30, 2010), the closing needs to be completed no later than Thursday, September 30, 2010.
This means that all deeds need to be recorded before the appropriate Clerk’s Office closes on that Thursday. Another problem is the necessary approvals by the short sale lender or REO Seller. If the First Time Home buyers (or qualified replacement buyer) is purchasing a short sale or REO property, the final HUD needs to be approved by the short sale lender or the REO Seller. This sometimes takes up to seventy-two hours (which will delay the closing).
Let’s all stay diligent to make sure that all eligible buyers receive their appropriate tax credit.Please contact me (Charlottesville Attorney) if you have any questions.
William D. Tucker, III
Tucker Griffin Barnes P.C.