Senators agreed Wednesday to extend a popular tax credit for first-time homebuyers and expand the program offering a reduced credit to some repeat buyers.

The $8,000 tax credit for first-time homebuyers which was set to expire at the end of November is to be extended till the end of April. Senators agreed to extend it till the end of April 2010.

The coverage was also expanded to give $6,500 tax credit to repeat buyers.

The tax credits would is geared to help homebuyers who sign sales agreements by the end of April.

They would have until the end of June to close on their new homes.

Senators were still discussing the expansion of a separate tax credit that lets money-losing businesses get refunds for taxes paid in previous years, providing them with an immediate source of cash.