Posts Tagged ‘high desert’

The clock is ticking fast and the Mortgage Debt Relief Act of 2007 will expire at the end of this year. This Act was put in place to protect distressed homeowners from paying taxes on debt forgiven once their short sale closes.

Prior to this act when homeowners negotiated a short sale, traditionally banks were legally required to report the debt wiped off the account to the IRS. Even though the homeowner did not see a dime of this forgiven money at the close of escrow Uncle Sam classified this forgiven debt as income. Unfortunately, this left some homeowners to foot the bill for the taxes on that “income”.

While congress decides whether to or not to extend the act beyond December 31st, homeowners who have been on the fence of indecision must act immediately. Unbeknownst to most, foreclosure can cause more damage than most are aware of. The Mortgage Debt Relief Act of 2007 is designed to offer homeowners relief from having to pay income taxes on forgiven mortgage debt, saving them from trading one unreasonable debt for another.

So what needs to be accomplished before this expiration date? All you need is a successfully approved and closed short sale transaction before the end of Monday, December 31, 2012.

If you’ve been listening to the mainstream media you’ll hear two very different opinions on the subject. Some experts expect the act to be extended, while others are of the opinion that the housing market is on the verge of another foreclosure wave. I genuinely hope this extension takes place so that more homeowners may take full advantage of this act. We must be realistic in our approach though; prepare for the worse, and expect the best. In the event that it doesn’t receive an extension in the very near future, many homeowners that would have otherwise been able to benefit from this Act will miss out on this opportunity. For those that take action right now, and the extension happens to pass, you will be closer to experiencing relief from the weight of that mortgage burden once and for all.

It is my sincerest wish to see more homeowners informed and prepared for the fast approaching changes. As a matter of fact, here is how you can help a neighbor, friend, and family member, share with them this article right now. They will thank you, and you will feel good that you were part of a solution in their moment of crisis.

Therefore, backed by popular demand, the many questions homeowners have in today’s evolving real estate market will be answered in a FREE Pre-Foreclosure Solutions Seminar happening on November 3, 2012. This seminar is for homeowners who are seeking an answer regarding their situations and better understand how the markets are behaving in their neighborhoods. Seminar will take place on November 3, 2012 @11am, in Upland, CA. Please call: 760.596.9856 to RSVP, and connect with me online at www.JoinDNA.com  for real estate market updates. For immediate answers regarding pre-foreclosure solutions please visit: www.BeatBankRepo.com. – #dna

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