It’s Friday, and it’s been depressing enough since CR at Calculated Risk pointed out that, according to NAR numbers, that $8,000 first time home buyer tax credit cost taxpayers $43,000 per house. [That's not including the interest for borrowing the money.]  Agents have been encouraging buyers to get out there and buy before the credit is gone.  Not to worry- it looks like the credit will be extended.  Not only is the credit likely to be extended, but perhaps very nearly doubled.  On top of that, it will probably be extended to all buyers, not just first-timers: [Hat tip Freedom's Phoenix]

Bills to extend the maximum $8,000 tax credit for first-time home buyers, which expires Nov. 30, are pending in both the U.S. House and the Senate.

Sen. Christopher J. Dodd, a Connecticut Democrat and chairman of the Senate Banking, Housing, and Urban Affairs Committee, is co-sponsor of a bill with Georgia Republican Sen. Johnny Isakson that would raise the credit amount to a maximum of $15,000.

….

Odds are that the credit will be extended and broadened to cover all buyers next year, but the chances of the amount increasing aren’t as good, observers say.

According to Michael Barr, assistant secretary for financial institutions in the Obama administration, nothing is for certain yet:

Barr said the government is looking at a variety of options to help bolster the housing market, but declined to provide specifics.

He would not say whether or not the government would extend an $8,000 tax credit for first-time home buyers that has bolstered housing sales but expires in November.

"We’re going to continue to take a careful look at a number of options to be sure that there is a way of stabilizing home prices, reducing the number of foreclosures, keeping mortgage interest rates low," Barr said.

My bet is that the tax credit will be extended.  This will be the "gift" that keeps taking, and taking, and taking….

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