PHOENIX-- Time is running out to get free money to buy a house.
The $8,000 stimulus tax credit ends in less than three months, and realtors are saying you need to act now to qualify.
"You have to start now," said real estate agent Kent Gagon. "It's going to take 45 to 60 days to close escrow on your home. So you really, ideally want to be under contract sometime next month, sometime in October."
The program ends November 30, which means the sale has to be closed by then (although there is talk in the White House of an extension).
"You're definitely going to have to be ready to go out, make an offer, and then do everything with the lender, with your real estate agent, with your inspections," said Gagon.
Gagon says it's not a good time to be picky and wait for the perfect house if you expect to take advantage of the credit.
Experts also say, forget about shortsales. They can take up to six months to close.
"Unfortunately, if somebody comes in right now wanting to buy a shortsale and qualify for this first time buyer tax credit, it's not going to happen," said Gagon.
Make sure you have plenty of money sitting in the bank, and take closing costs into account.
Don't rack up your credit card while you are in the market to buy a home. Big expenditures raise big flags for creditors.
Gagon says the stimulus program has helped curb the housing meltdown. In January there were about 58,000 homes on the local market. Now, there are about 31,000.
"I think it's been a great stimulator for this economy and this housing market, and I think that it's kind of sad that it's going away," said Gagon. "Hopefully, they come up with something next."
