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Bounce from tax credit could last past the deadline

From The Real Deal
Published on Apr 27, 2010

Editor's note: This article is reposted with permission by The Real Deal. Click here to view the original article. By AMY TENNERY While the first-time homebuyer tax credit program is set to expire April 30, it could end up affecting housing statistics for weeks to come. That's because homebuyers have until June to close on properties if they sign contracts by next Friday. The program, extended from last fall, offers up to $8,000 to first-time buyers and $6,500 to repeat buyers. The credit could result in a continued, artificially-created increase in the rate of mortgage application filings, which showed a 13.6 percent uptick for the week ending April 16 according to seasonally adjusted week-over-week data released today from the Mortgage Bankers Association. The average 30-year mortgage rate, meanwhile, dipped to 5.07 percent from 5.17 percent, according to the MBA's report. Michael Fratantoni, vice president of research and economics with the MBA, told The R...

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