Any mortgage forgiveness achieved in a short sale would be counted as income for those whom banks allowed to sell their homes for less than the amount of their mortgage
Hauppauge, NY (PRWEB) December 16, 2014
On 12/10/14, Short Sale Homes offers a reply to a HousingWire article reporting a one-year extension of the Mortgage Debt Forgiveness Act.
Homeowners, who had to short sell their homes in 2014, just caught an enormous break. Ben Lane states, “The house of representatives passed a one-year extension of the Mortgage Debt Forgiveness Act on Wednesday – December 3rd”. Without this act in tact, former homeowners will be left paying tax on “income” that they have never seen.
Before the Recession hit in 2007, homeowners who sold their homes for what was less than the balance of their mortgage would have to pay income tax on the difference. Now families are being forced to short sell because they can’t make ends meet. Lane explains, “Any mortgage forgiveness achieved in a short sale would be counted as income for those whom banks allowed to sell their homes for less than the amount of their mortgage.”
Short Sale Homes representative, Mark Gallagher, believes that congress had to pass this Act saying that it’s in the best interest of the struggling families living in the U.S. Gallagher, also had the following to say about the Mortgage Debt Forgiveness Act. “The growing numbers of homeowners who have no choice but to short sell are increasing more than ever. With the House of Representatives passing this Act, it gives struggling homeowners room to breathe. It is in our best interest to look after those who need help and that are stressed. We’re happy to see that our government is doing the same.”
Short Sale Homes is a New York-based real estate firm, providing licensed real estate brokers that specialize in dealing with the unique challenges that short-sale transactions can present. Not simply just any real estate firm, Short Sale Homes provides short sales experts who have the skills, experience, and knowledge necessary to help homeowners who owe more on their home than it is worth. Visit us online at http://www.shortsalehomes.com.