It’s a much-anticipated move that, for some reason, has taken a lot longer than most expected it would, but it’s being reported that the Senate has approved an extension (and modification) of the Home Buyer Tax Credit, which many believe will continue to drive the housing market upward, aiding in an overall economic recovery. Now, it’s up to President Obama to sign it into law.

The $8,000 maximum first-timer credit will continue and will now available to couples with income up to $225,000, a nearly $55,000 increase above the level in existing law.  A new $6,500 maximum credit would also be available to move-up homeowners who have lived in their current residence for five of the prior eight years.

The modification most likely to make an impact, in my opinion, is that a credit will now be offered to move-up buyers as well; not just the first-time buyers. Expanding the income limits will also open up the opportunities to a broader group of home buyers.

While you're here, don't miss these posts:

1. Home Buyer Tax Credit Push Still On Home Builders, Realtors and Bankers continue to urge Congress to extend the home buyer tax credit, and from what I see day-to-day, there’s no shortage...
2. Home Buyer Tax Credit Re-Invented Well, it’s been brewing for a couple of weeks, and the final pieces are in place for the new Home Buyer Tax Credit. While it’s...
3. IRS Clarifies What’s Needed For Tax Credit The Internal Revenue Service has clarified which documentation taxpayers need to submit to claim the first-time and move-up homebuyer tax credit. While the IRS is...