Coldwell Banker Premier finds Expanded Tax Credit to be "Smart Spending"

Coldwell Banker Premier announces the findings from a new survey that looked at how the recently expanded federal home buyer tax credit, which opened up the credit to existing homeowners, might impact the economy. Of the more than 1,000 homeowners surveyed, 83 percent responded that if they were to purchase a home and qualify for the tax credit, they would engage in “smart spending” or (34 percent) put the money toward paying off existing debts, (29 percent) home improvements, (28 percent) savings/investments, or everyday household expenses. Only 6 percent of respondents indicated that they would spend the money on what are commonly referred to as luxury items such as vacation or shopping sprees.

In addition, Coldwell Banker found that 20 percent of homeowners indicated they were more likely to consider purchasing a home than they were six months ago, after learning about the $6,500 federal tax credit. The tax credit, which previously only was for first-time home buyers, is now available to existing homeowners who sign a binding contract before April 30, 2010 and close on the purchase of a home before June 30, 2010. To learn more details of the expanded home buyer tax credit, go to www.coldwellbanker.com