Over the last several weeks we have seen mortgage applications drop as the first-time home buyer tax credit expired on April 30, 2010. The number of applications for mortgage refinance is have greatly increased as mortgage rates are near all-time lows.

It is very important to remember that the first-time home buyer tax credit is no longer available to those looking to purchase a new home. If you were under contract by April 30, 2010 you will have an opportunity to complete the contract by September 30 which is an extension from the original June 30 expiration.

Over the next few weeks it will be very interesting to see how many Americans consider purchasing a new home and the current housing market. With home prices very affordable and mortgage rates near all-time lows there is a possibility that new home sales could increase under the right conditions.