Mortgage Forgiveness Debt Relief Act Not Extended by Congress

The Mortgage Forgiveness Debt Relief Act has not been extended by our very productive United States Congress and this is going to have a rippling effect on the real estate market and the general economy. This Act has been in place since the beginning of the real estate market’s downward turn in 2007 and has been one vital piece to the turn around of the nation’s real estate market. The Act he made it possible for homeowners facing Foreclosure, Short Sale or Mortgage Modification to exclude the forgiven debt from their calculation of taxable income, saving them thousands, or even tens of thousands of dollars, in taxes that could have been owed. It will be owed at the homeowner / borrowers current tax rate in 2014, unless extended. The idea of extending the Act has bi-partisan support, so the question I have got to ask is why won’t either side bring it to a vote and get this extended. I am not an advocate of governmental intervention in the private affairs / business of the free market but this is one area that they need to intervene. If you have any questions or comments email me at Collier@MegaAgents.com, visit my blog at www.CollierSwecker.com or my website at www.MegaAgents.com.

Short Sale Now Because Mortgage Forgiveness Debt Relief Act Expires December 31, 2012

Collier Swecker video blogs about how the Mortgage Forgiveness Debt Relief Act is set to expire on December 31, 2012. In summary, the Mortgage Forgiveness Debt Relief Act states that if you borrow money, from a bank or a commercial lender and the lender cancels or forgives the debt (i.e. Short Sale) then you are not responsible for paying taxes on the forgiven amount. This includes balances forgiven through foreclosure. The Act only applies to debt incurred to buy, build or improve a personal residence, NOT an investment property.  I strongly encourage anyone who is struggling with their mortgage to talk with a Realtor, Lawyer, and CPA to find the best course of action with your home because delaying the inevitable may cost these homeowners thousands in tax liability and you do not want the IRS on your back in addition to the banks. If you have any questions or comments about the Mortgage Forgiveness Debt Relief Act email me at Collier@MegaAgents.com or visit my website at www.CollierSwecker.com.

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Home Sellers Must Tell Realtor if They Are Behind on Their Mortgage

Collier Swecker video blogs about how important it is for home sellers to inform their Real Estate Agent if they are currently behind on their mortgage payments. Many Realtors have the knowledge to form a game plan to help you save your home from foreclosure and economic devastation. If you have any comments or questions, email me at Collier@MegaAgentRealEstate.com or visit my website at www.MegaAgentRealEstate.com.