Pelosi says homebuyer credit may be extended

The first time homebuyer tax credit may be extended, and even expanded, according to House Speaker Nancy Pelosi.

The $8,000 credit is set to expire Dec. 1.

“Yes, there is under consideration whether we extend the first time homeowners credit,” Pelosi said at a news conference Thursday. “And the question is, would that be just first time homeowners or would you open it up to other purchasers of homes.”

The tax credit has been among incentives fueling a rise in housing sales this year. The National Association of Realtors, which last month called on Congress to extend the credit, says it has brought 1.2 million new buyers into the market.

The NAR estimates 350,000 of those buyers would not have purchased a home without the credit.

Several lawmakers, including U.S. Sen. Benjamin L. Cardin, D-Md., have called for a six month extension of the credit.

An estimated 40 percent of all homebuyers in 2009 are eligible for the credit.

Washington Business Journal - by Jeff Clabaugh Staff Reporter