Tax credit extension could help short sale buyers

Wade Smith signed a short sale contract for a two-bedroom condo in Fort
Lauderdale in advance of the April 30 deadline to obtain the federal
homebuyer tax credit. As he’s not sure he’ll be able to close by June
30, the deadline for closing under the terms of the credit, a new
proposal from Sen. Harry Reid could be just what he needs. Homebuyers
trying to close short sales, along with those trying to obtain flood
insurance, stand to gain the most from the proposed extension.
Lawmakers let the National Flood Insurance Program expire three times
in 2010, and the lack of flood insurance has hurt some home sales, says
Bill Mei, a loan officer for Element Funding in Pompano Beach. [Sun Sentinel]