By now you probably heard that the Homebuyer Tax Credit was extended and expanded. Here are the particulars:

• - $8000 to first time homebuyers (haven’t owned for 3 years)
• - $6500 to homebuyers who aren’t first-timers
• - Must buy a primary residence
• - Applies to homes up to $800,000
• - Must sign contract to buy home by 4/30/10
• - Must close by 6/30/10
• - Must stay in the home for 3+ years
• - Income limits are $125,000 for a single or $225,000 for a couple. Credits are phased out over these limits

Okay, this sounds like a typical Realtor sales talk, but hear me out: Between now and 1/1/10 may be a great window to buy a home, especially if you’re buying under 600K. Here’s why:

• 1. Many homebuyers take a vacation from home-shopping during the holidays, leaving you less competition.
• 2. Anyone with their home for sale during the holidays is going to be more motivated, on average.
• 3. The BIG reason: There was a huge rush to buy before the 8K First-Time Homebuyer Tax Credit expired 11/30/09. It was extended, but much demand was used up in the rush to meet the deadline. I expect some of the “Post Cash-For-Clunkers Empty Showroom Syndrome” that slowed down car sales – even though the credit was extended.

There are still plenty of great buys to be found in Oceanside, Carlsbad. Encinitas,  San Marcos, Vista and Escondido for first time buyers.  With a little slowdown in the buying frenzy the holiday season could be the opportunity you have been waiting for.