For the federal incentive, contracts must be inked by April 30, while closings have to happen by June 30. The California credit covers closings on existing or new homes on or after May 1, leaving a short window for double dipping. Buyers will now be eligible for both the federal and state credit and will likely consume a significant piece of the state credit given the first-come, first-serve allocation.
Time Line possibilities:The tax credit will benefit about 14,000 new-home buyers, lasting as long as five months.
The State allotment could be snapped up in about a month. (10,000 homes)