The U.S. Congress is currently discussing an extension and expansion to the $8,000 tax credit for first-time home buyers in a bill which has been instrumental in breathing life into the U.S. real estate market. With a decision expected to be made this week, Tampa builders, Tampa buyers and Tampa real estate professionals are all anxiously awaiting the good news that is expected to continue the positive momentum in the housing market movement.

With the current tax credit expiring on November 30th of 2009, this extension would give buyers until mid-2010 to close on a new home. In addition to the extension, an additional credit of $6,500 would be created for move-up buyers who are searching for a new primary residence.

The National Association of Home Builders expects that the extended and expanded home buyer tax credit will generate 180,000 additional sales, bring in $5 billion in federal taxes and create 211,000 new jobs. Home builders, who have recently been seeing progress in the market, will directly be affected from an extension, with new homes starts already expected to increase in 2010.

Tampa Bay home builders are highly motivated, currently offering an abundance of incentives to sell inventory of their new homes to qualified buyers. Our SI Real Estate professionals have seen an increase in outreach and enticements from new local communities and our expectation is that builder and seller incentives will continue at an irresistible pace for the near term. An extension to the tax credit partnered with this abundance of builder incentives would give Tampa buyers an ideal opportunity to find the perfect new home in the new year.