Property 8 Lower your taxes!

If you want to lower you property taxes, please click on the link below and fill out the form. You don't have much time left. If you need comps, please e-mail me your address and I will send them to you.

http://riverside.asrclkrec.com/acr/forms/755P-AS3RS0%20Owners%20Request%20for%20Review.pdf

Thanks!

Update!

After much anticipation and a full year of home owners facing foreclosure sweating it out, H.R. 3648 - Public Law 110-142 was finally signed into law December 20, 2007.

One of the pitfalls of a short sale or foreclosure is that any debt amount forgiven or discharged by the lender is recognized as taxable income by the IRS, and then taxed at ordinary income rates for the home owner, even though no actual cash changes hands. The taxation of "fake" money was just another kick in the pants to homeowners who just lost their home to foreclosure, only to find a huge tax bill in the mail that most could not afford to pay. The Act was given a boost of support with the number of foreclosures and the mortgage/financial crisis, not to mention the decreasing home values happening across the country.

So now, with the passage of the H.R. 3648, individuals who are relieved of their obligation to pay some portion of a mortgage debt on a principal residence between January 1, 2007 and December 31, 2009 will not be required to pay income tax on any amount that is forgiven.

Here are some details that might apply to you:

1. No Income Limitation: All borrowers receive the relief, no matter what their income.

2. Dollar Limitation: No more than $2 million of mortgage debt is eligible for the exclusion ($1 million of debt for a married filing separately return).
Relief applies only to an individuals principal residence and the forgiven mortgage debt must have been secured by that residence.

3. No relief is available for cash-outs, whether the cash-out takes the form of a refinanced first mortgage, a second mortgage, home equity line of credit or similar arrangement.

4. Eligible debt is what is called "acquisition indebtedness." This is debt used to acquire, construct or rehabilitate a residence.

1) Refinanced debt qualifies, so long as the debt does not exceed the original amount of the debt. (Same rule as Mortgage Interest Deduction)

2) Home equity debt (or second mortgages) qualifies if the funds were used to improve the home. (Borrower must have adequate records, as under current law.)

3) See cash-outs, above. No amount of a cash-out may be treated as acquisition debt.

If you have any further questions, please give me a call and I will be more than happy to help!