I received a message late last week from one of my helpful resource folks, Garrett Huffman of the Master Builder's Association, regarding real estate closings and King County furlough days.
Earlier this year I posted a blog entry listing the days various King County offices would be closed in an effort to help minimize budget overruns. One of the most troublesome dates on the list is scheduled furlough for November 25th ... just 5 days prior to the end of the First Time Homebuyer's Tax Credit, as it is currently defined. Add in the typical Thanksgiving holidays of November 26-27, the last week of November has generally been deemed a write-off as far as getting transactions closed.
According to Garrett, the folks at King County have taken into account the general "panic" that may WILL occur by folks trying to get transactions recorded so as to qualify Buyers for their tax credit.
I have a couple of transactions that are looking like last minute closings too. YIKES!
The Master Builder Association has been working hard to be sure that last minute transactions are recorded on time. Here's what they're reporting:
"King County has been very responsive to our association's concern regarding a furlough day planned at the county in late November. To make sure that the home sales to first time homebuyers close by Nov. 30 and are therefore able to qualify for the federal first-time homebuyer tax credit, the Recorder's office is taking the following action:
- King County plans to have 15 employees in the Recorder's Office designated as furlough ineligible and therefore able to work overtime during Thanksgiving week.
- These designated staff will work overtime on Monday, Nov. 23 until all documents are recorded.
- On Tuesday, Nov. 24 the Recording Office will start at 7:15 a.m. and stay late until everything is recorded.
- They will have a team of seven recorders on stand-by to work on Wednesday, Nov. 25 should there be any additional work not completed on Tuesday.
- The office will not be open to the public on Wednesday, Nov. 25 and would not receive any additional documents.
In addition, we have requested that King County be prepared for Recording office staff to work overtime on Monday, Nov. 30, to help ensure that all sales are recorded and no first time homebuyer will miss the tax credit deadline."
Your Dedicated Realtor & Active Rain Blogger, working the Auburn, Kent, Renton, Maple Valley, Federal Way, Covington, Puyallup, Sumner, Bonney Lake, Lake Tapps, and north/northeast Tacoma areas.
Good stuff Gay. Will you share at the office meeting on Wednesday?
Yep!
ahh, government logic, close one day to save money, but time and a half for overtime the next day to make sure everything closes on time.
Todd: Makes just about as much logic as the loss mitigation ... and extended folks ... and the banks that are dealing with short sales: just don't get 'round to approving/disapproving an offer ... so it can go to auction .... so the bank gets it back from the auction ... so they can sell it for less than the offer was in the first place.
Hi Gay, even with the tax credit extension we still have many transaction trying to close on or before the 30th and still no doc's from the lenders. What the heck - isn't 3 working days plenty of time? Of course it is. That is if we can get the doc's on Monday!