Fortuño signing Housing Stimulus program extension today

An apartment for sale in Old San Juan. (Credit: Ian Malinow)

Gov. Luis Fortuño will be signing a three-month extension to the 2011 Housing Stimulus law today, giving would-be homebuyers the chance to take advantage of exemptions on closing costs and taxes.

The benefits package that would have otherwise expired June 30 has also benefited banks, which have closed mortgages for some 10,700 new and existing homes worth more than $1.6 billion.

Under the 2011 Housing Stimulus program new homebuyers are exempt from paying certain costs associated with the mortgage application and closing process, property taxes and special surtax fees for five years, and capital gains taxes when sold.

Three other programs provide financing of up to 105 percent of the purchase price of a home (“My Mortgage Insurance”); subsidies for social interest homes (“My New Home”); and 10-year tax exemptions for rental property income (“Rental Market Stimulus.”)

The benefit program will now be good through Oct. 31.

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