NATIONAL FLOOD INSURANCE PROGRAM AND HOMEBUYER TAX CREDIT CLOSING DATE EXTENDED

NATIONAL FLOOD INSURANCE PROGRAM EXTENDED

For months Buyers and Seller across the nation have been paralyzed by Congress's inability to renew the Flood Insurance program, of even greater concern as we enter hurricane season.

The United States Senate has passed the National Flood Insurance Program Extension Act of 2010 (H.R. 5569) an extension of the National Flood Insurance Program until September 30, 2010. This will allow transactions to move forward. The bill is retroactive and covers the lapse periodfrom June 1, 2010 to the date of enactment of the extension.

But we can't get too comfortable with our flood insurance as the program is again set to expire on September 30, 2010.

HOMEBUYER TAX CREDIT CLOSING DEADLINE EXTENDED

Congress has passed an extension of the Homebuyer Tax Credit closing deadline, the Homebuyer Assistance and Improvement Act (H.R. 5623). The extension applies only to transactions that have ratified contracts in place as of April 30, 2010 that have not yet closed. The legislation is designed to create a seamless extension the new closing deadline for eligible transactions is now September 30, 2010. There is will be no gap between June 30 and the date the President signs the bill into law.

Many of those taking advantage of the credit have been unable to close due long and drawn out process of Short Sales across the U.S.