Serious homebuyers may have more than the First Time Homebuyer Tax Credit motivating them to buy a home before April 2010!  I just read an e-mail announcement from the United States Department of Agricultural announcing that it is very likely that the USDA will have exhausted all funds available for single family home loans by the end of April, 2010.  This creates additional urgency for homebuyers to get a home under contract and closed before these funds for these loans run out.

According to USDA they have stated that "Once funding is exhausted, the Agency will not issue Conditional Commitments subject to receipt of appropriate funds. This is because it is not certain when additional funding will be available."  What this means to many homeowners is that if they wait until the last minute to take advantage of the First Time Homebuyer Tax Credit and they intend to use the USDA loan program there is a VERY good chance there will not be money available to fund the loans.  The bottom line is that you could likely lose out on this super affordable loan program AND you will lose out on the opportunity to take advantage of the tax credit and the potential of getting your $8,000.

The solution is to act fast and get your new home under firm contract as quick as possible and get your loan application started.  If you wait to get a home under contract towards the end of the first time homebuyer tax credit you will likely miss out entirely.  If you would like us to get your home purchase on the fast track send us an e-mail right away or give us a call at (740) 397-7800.

Sam Miller

UPDATE on May 13th, 2010:  

We just received an e-mail from one of our lenders confirming that Rural Development / USDA has ran out of available funding.  I will update you once I hear anything new.