Okay, we’re heading toward the end of the year. That might seem a bit far away for most, after all Thanksgiving is still more than two weeks away, but time does fly right about now. If you’re buying a home and financing it with a VA loan or refinancing an existing one, there may be some income tax deductions for you if you close on your purchase before 2014 calls it quits. For example, interest charges, property taxes and discount points may be tax deductible. That is if you itemize your deductions but most homeowners do just that. (For tax advice, make sure you speak with a professional tax planner).
And while New Year’s Day seems oh so far off, VA lenders know how fast these next few weeks will actually be. If you’re still working on an offer and want to close in 2014, you need to hurry. Why? A bit of human nature, that’s why.
Consider: Thanksgiving rolls around on a Thursday, just over two weeks from now. Thanksgiving Day is a holiday and while the next day is not, most companies have little more than a skeleton crew remaining. And for those who travel, they do so on Wednesday, the day before Thanksgiving. For lenders, appraisers and settlement companies, they’re not immune. Their employees too will be at home with family and friends.
Okay, now t
hey all come back the following Monday, December1 , and it’s Christmas and Hanukkah’s turn. There are effectively three weeks of business in December. Hanukkah begins December 16th and Christmas Eve is on a Thursday. New Year’s Eve is on the following Wednesday and poof! the year’s over.
Due to the hustle and bustle of the holidays, people rightly begin thinking of more important things other than punching the time clock. If you’re in line to close a purchase or a refinance, don’t drag your feet.