At what point do borrowers who owe more than their homes are worth decide to stop paying the mortgage?
A new study from economists at the Federal Reserve Board aims to answer that question.
via bubbleinfo.com.
May 17
The 1099-C (pdf) is the form you should get for the total amount your lender lost on the deal for your house. And, guess what? The IRS has its own view on this: It considers this “loan forgiveness” as a source of taxable income for you.
That’s right. If you short sold on your house, you are more than likely to get a bill from the IRS to pay up taxes on the amount of the forgiven debt or else!
Come on, you didn’t really think it would be THAT easy? Did you?
May 04
Bank of America is projecting a 600% increase in its already large number of monthly foreclosures.
This isn’t unsubstantiated rumor; this comes straight from one of the most powerful men in Bank of America’s OREO department.
via bubbleinfo.com
Apr 26
Recently, Fair Isaac, which developed FICO scores, pulled back the curtain a bit, revealing some estimates of point-score declines following mortgage delinquency problems.
via CNN Money.com
Apr 20
Over 10,000 people attended the first day of the Miami leg of a national tour to give struggling homeowners free financial and mortgage assistance. According to Sylvia Alayon of the Consumer Mortgage Audit Center (CMAC), the 5-day Miami event is expected to have a record turnout of over 50,000 people, with many flying and driving in from all over the nation.
via RISMedia.
Apr 17
Did you lose your house to foreclosure this year? Did your lender forgive some of your mortgage debt because you sold it for less than it was worth? If so, you could be facing a big tax hit.
Apr 07
“There is rampant fraud and deceit being imposed by Realtors throughout the county. It’s embarrassing.”
via Calculated Risk
Apr 06
Today the Administration’s Home Affordable Foreclosure Alternative Plan takes effect, offering incentives to borrowers, servicers, investors and second lien holders to push short sales through the system. Yep, everyone gets a cut of government funds to get these troubled borrowers out of their homes and get them sold, even if the sale price is less than the value of the loan.
via CNBC.
