mortgage debt relief act 2007: Short Sales and Foreclosures…Mortgage Forgiveness Debt Relief Act 2007 - 12/10/12 02:34 AM
 
The Mortgage Forgiveness Debt Relief Act 2007 is due to expire by the end of the year.   The purpose of the act is to give relief to those homeowners who closed with a short sale or their home was foreclosed on, from paying taxes on the portion of their mortgage that is forgiven.  Example: you owe $140,000 on your home, and you short sale for $100,000, the IRS could tax you on the $40,000.
Many sellers are feeling the stress as the days count down, and are urging their realtors to do what is necessary to get to the closing … (0 comments)