House Approves Extension for First Time Home Buyers to File for Credit

The House of Representatives has passed a bill that will give first-time home buyers an additional three months -- until Sept. 30 -- to complete purchases of newly bought homes and secure a first-time home-buyer credit.

The extended deadline only applies to those who signed purchase agreements by April 30. Under current law those deals would have had to been completed by Wednesday to qualify for tax credits of up to $8,000. But a backlog of mortgage applications prompted Congress to act to extend the deadline to give home buyers additional time to complete their deals.

The bill now moves to the Senate, where Senate Majority Leader Harry Reid has sponsored a similar measure.