| nately it looks like the chances of a further extension | | | | 5.35 million rate in March, the first increase in four |
| to the home buyer tax credit are lessening by the day | | | | months. Lawrence Yun, the group's chief economist, |
| as stronger housing data and focus on reducing | | | | said the government's homebuyer tax credit "has done |
| government debt and foreclosures emerges. | | | | its job," bringing more buyers into the market and |
| Bloomberg reports that purchases of new homes in | | | | stabilizing prices. |
| the U.S. surged 27% in March, the most in almost five | | | | The Obama administration originally extended the |
| decades as buyers rushed to qualify for the home | | | | credit in November 2009 and expanded it to include |
| buyer tax credit. The annual pace of 411,000 new | | | | existing home-owners. To claim the home buyer credit |
| home sales exceeded even the highest forecast of | | | | you must have a signed contract by the end of April |
| economists. Last month's purchase rate was the | | | | 2010, with the transaction to be completed by June 30 |
| highest since July 2009 and followed a record-low of | | | | (see all the qualification details and claiming criteria in |
| 324,000 in February that was higher than previously | | | | this article). You can submit an amended tax return |
| estimated. Home sales increased in all four U.S. regions | | | | with Form 5045 to claim the home buyer credit or file |
| last month, led by 44 percent jump in the South. | | | | for it in your 2010 tax return. |
| The median price of a new home in the U.S. increased | | | | While the home buyer credit is likely to lapse, there are |
| 4.3 percent in March from a year earlier to $214,000. | | | | some exceptions for certain groups who can claim the |
| The jump in sales brought the number of new houses | | | | credit into 2011. For example Members of the Armed |
| on the market down to 228,000, the fewest since | | | | Forces and certain federal employees serving outside |
| March 1971. The supply of homes at the current sales | | | | the U.S. have an extra year to buy a principal |
| rate dropped to 6.7 months' worth, the lowest level | | | | residence in the U.S. and still qualify for the home buyer |
| since December 2006, from 8.6 months in February. A | | | | credit. An eligible taxpayer must buy or enter into a |
| report yesterday from the National Association of | | | | binding contract to buy a home by April 30, 2011, and |
| Realtors showed sales of existing homes jumped to a | | | | settle on the purchase by June 30, 2011. |