It could be a good time to buy new digs. The Senate yesterday passed a new home buyer tax credit allotting buyers up to $15,000 in tax credits. The New York Times reports:
The Senate on Wednesday voted to expand the economic stimulus package with a tax credit for homebuyers of up to $15,000, a provision championed by Republicans as addressing a root cause of the recession.
The tax break for homebuyers, which the Senate approved by voice vote without opposition, was the second amendment in two days intended to encourage consumers to make major purchases. The tax credit would give buyers 10 percent of the price of a primary residence bought within one year, up to $15,000, and is intended to stabilize plummeting home prices, which caused a wave of foreclosures and led to the near collapse of the financial system as Wall Street firms wrote down billions in mortgage-backed assets.
With Wednesday’s additions, the cost of the Senate package has climbed well above $900 billion — the limit that Mr. Obama has set for the final legislation. Intense negotiations seemed likely over how to reduce the price tag.
Times are good for people with money to spare.