A couple of days ago, I wrote an article that highlighted issues in King County, WA regarding closings in November 2009 that could impact a buyer’s ability to get the $8,000 tax credit for 1st time buyers. More news is coming out that impacts this as well and buyers should be prepared that lenders are wary of the volume that will hit at the end of this month as well and they’re putting up barriers for any legal action that may come from a rush of paperwork and deadlines culminating at the end of the month during one of our Nation’s biggest holidays.
See below for a warning sent out by one of my lending contacts with regard to news they’re being given of banks trying to reduce liability for missing the deadline. Be sure to be talking to your lender about their policies and volume that is expected for this month. The last day of the month is a Monday:
One major lender has reminded us that, for the purposes of the tax credit, the purchase date is the date when closing occurs and the title to the property transfers to the homeowner. This must take place before December 1, 2009. This lender is also suggesting that a disclaimer be signed absolving them of any liability should the mortgage loan not get closed in time for the credit. There is a movement to extend the deadline at least 6 months, and even to drop the first time buyer requirement. Who knows what the future of that is. Good Luck Jerry Rutherford Professional Mortgage, Inc.
22659 Pacific Hwy So Suite 101
Des Moines, WA 98198
Phone: (206) 870-5050 Cell: (206) 356-1711
Toll Free: 1-800 764-5626 Fax: (206) 870-5051
Email: [email protected]
www.pmiloans.com
WA Lic. # 510-LO-35158
