There is no argument that short sales will continue to make up a significant portion of the Mesa Arizona real estate market. One of the driving forces behind the large number of homes up for short sale in Mesa AZ is the coming expiration of the Mortgage Forgiveness Debt Relief Act of 2007.
The Mortgage Forgiveness Debt Relief Act of 2007 (MFDRA), which provides for the forgiveness of income tax on the difference between what a home short sells for and the debt owed, is adding to the upward trend in Mesa AZ Short Sales. There are some limitations on who can benefit but it covers homeowners primary residences who have received a mortgage modification, short sale or foreclosure. Anyone who may be facing potential tax liability should check with their tax accountant before assuming they have no tax obligation.
The upward trend to short sale in Mesa AZ is helped by high buyer demand and lower inventories. Now may be as good of time since the housing crash and the real estate market down turn. The larger servicers like Bank of America are expecting a significant increase in short sales throughout 2012. This is in part because the major banks are better at processing short sales, they have slowed foreclosure actions and realize higher net proceeds from short sales compared to foreclosures.
If you are considering a short sale in Mesa AZ you can find more information by listening to this week’s R.E Scott Real Estate Talk radio program.
R.E. Scott Real Estate Talk radio program "Short Sale & MFDRA"
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