Foreclosure and Short Sale Tax Implications

Posted by & filed under Foreclosures, Stockton Real Estate.

The Mortgage Debt Forgiveness Act of 2007 and the Emergency Economic Stabilization Act of 2009 provide tax relief for debt forgiven through a short sale or foreclosure. In the Internal Revenue Code Section 108, discharge of qualified debt from the purchase of a principal residence can be excluded from income if the discharge occurs in […]

Streamlined Shortsales? Really? Hey, I Have This Bridge For Sale…

Posted by & filed under Stockton Real Estate.

Buyers and sellers unfamiliar with the short sale process always ask if there is anything that can be done to speed up the short sale process. As I have mentioned before, there are new and improved rules that have just been formed to streamline the short sale process that will go into effect April 5, […]

They Should be Called Long Sales

Posted by & filed under Stockton Real Estate.

Time and time again sellers, buyers and agents involved in short sale transactions complain that the process takes too long. In fact, buyers often get frustrated and leave prior to receiving approval. It isn’t uncommon to go through two or three buyers in any given short sale. This is unfortunate since it can prolong the […]

HUD Secretary to Request Higher Lending Standards

Posted by & filed under Stockton Real Estate.

Housing and Urban Development Secretary Shaun Donovan to tell the House Financial Services Committee to require larger down payments by borrowers, increase the minimum required credit scores, and limit kick backs from sellers, including closing costs and upgrades. Due to previously relaxed lending standards that fed the now imploded housing bubble, the lending standards must […]

U.S. Treasury to Impose New Short Sale Incentives and Requirements for Lenders

Posted by & filed under Stockton Real Estate.

As reported by Reuters on Monday The U.S. Treasury released terms for mortgage companies to increase approval times on short sales and loan modification programs to reduce the numbers of foreclosures. The Home Affordable Foreclosure Alternatives Program will provide financial incentives and simplifies the procedures for completing short sales. Since the HAMP program encounters situations […]