Weller Group Sells Vegas!

Weller Group Sells Vegas!

Mortgage Relief Act

Was Extended Retro-Actively Through December 31, 2014

It had expired on December 31, 2013, but was retroactively extended by Congress through December 31, 2014.

This is great news.  Typically debt that is forgiven or written-off through a short sale or foreclosure must be included as "income" on a tax return and is taxable.  The Mortgage Debt Relief Act provides tax relief to many of those homeowners completing a short sale, saving potentially tens of thousands upon completing a short sale.

Here is an example.  You owe $600,000 on your mortgage you short sale your house for $450,000.  When your bank forgives the $150,000 you would normally have to pay taxes on it.  If you are in the 25% tax bracket, that would be $37,500 in taxes.  However, if you short sale your house by the end of 2013 this tax can be avoided allowing you to walk away without owing anything!

You do not want to miss this opportunity to get out from under your property without being liable for paying taxes on the forgiven deficiency amount.  This can be an important step in recovering financially.

If you would like a free consultation please contact us at 714-989-6176
or by completing the form.