8k Credit Update

This week I have received many calls in regards to "Is the gov't going to extend the 8k tax credit." There is a provision in a bill being voted on this week that would extend the closing date for all customers from June 30th to September 30th. The bill would not extend the "must purchase by April 30th" language however. What this means is that you still have to have made your home purchase by April 30th...but could now potentially close up thru September 30th provided the bill is passed. I feel you will see this get passed as many borrowers trying to close will not meet the June 30th deadline for a number of reasons. Reason number 1...there are too many people trying to close in the last 2 weeks of this month. Underwriting cannot keep up with the number of loan submissions; title companies do not have enough slots available for customers to close during the day; And banks only have so much money they can lend daily. An extension makes sense and I feel you will see this announced very soon.