In this week’s installment of Ask An Agent, a reader wonders how far in advance of the expiration date of the first-time home buyer tax credit she should start looking for a home in order to meet the deadline. Mandy Mills of Hounshell Real Estate offers up some insight.
Question: With the Obama administration’s $8,000 first-time home buyer tax credit expiring on December 1, how much lead time do I need to start looking for a home to be able to meet that deadline? If I start looking in September, will that be cutting it too close?
Answer: Most contracts settle in 30-45 days and most loans today take about 30 days to process, so you’ll want to be under contract by some time in late October to help ensure a settlement before the December 1st deadline.
Every buyer is different, so the major variable is how long it will take that person to feel comfortable with the process of searching for and deciding upon the right home. For everyone, there is a learning curve regarding value, location and the specific elements of a home that are important to them. An experienced realtor can help single out properties that fit within a buyer’s parameters and assess value in the marketplace.
Once a person is serious about looking for a new home, it is never too early to begin the search. However, in the DC metropolitan area, more inventory becomes available once the summer is over, so September is an excellent time to really begin looking in earnest.
More recent articles about DC area real estate from UrbanTurf:
- Foreclosure Response Team Coming to DC Area
- Interest Rates: The Difference 30 Years Makes
- Northern Virginia Home Inventory Falls to 4-Year Low
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