2013 Real Estate Related Laws Every Homeowner Should Know

By
Real Estate Agent with Florida Luxury Realty SL2337465

To avoid the Fiscal Cliff, the FED has done what they need to whether we like it or not. Here is what it means to Real Estate and Homeowners.  The President is Expected to Sign these Back Into Law.

Mortgage Forgiveness Debt Relief Act extended to January 1, 2014. In place since 2007, the act provided a tax break for homeowners who struggled through financial hardship such as a foreclosure, and were granted mortgage debt forgiveness

• Deduction for mortgage insurance premiums for filers making below $110,000 is extended through 2013 and made retroactive to cover 2012.
The 15-year straight-line cost recovery for qualified leasehold improvements on commercial properties is extended through 2013 and made retroactive to cover 2012.
• The 10 percent tax credit (up to $500) for homeowners for energy efficiency improvements to existing homes is extended through 2013 and made retroactive to cover 2012.
• "Pease limitations" that reduce the value of itemized deductions are permanently repealed for most taxpayers but will be reinstituted for high-income filers. 
The capital gains rate remains at 15 percent for individuals earning less than $400,000 per year and couples earning less than $450,000. Any gains above these amounts will be taxed at 20 percent. The $250,000/$500,000 exclusion for the sale of principle residence remains.

Wishing Everyone a Happy, Healthy and Cliff-Free 2013!

Posted by

                      

 

 

 

close

Re-Blogged 1 time:

Re-Blogged By Re-Blogged At
  1. Dan & Linda Tublitz 01/02/2013 11:46 PM
Topic:
Lending / Financial
Location:
Florida Pasco County New Port Richey
Groups:
All Things Florida
LGBT Referrals
Posts to Localism
Pasco County Florida Real Estate
Tags:
real estate
capitol gains
mortgage forgiveness
fiscal cliff

Post a Comment
Spam prevention
Spam prevention
Show All Comments
Rainmaker
571,818
Bill Gillhespy
16 Sunview Blvd - Fort Myers Beach, FL
Fort Myers Beach Realtor, Fort Myers Beach Agent - Homes & Condos

Hi Michael,  Lets hope this ( late ) good news will help the econmy and our market to gain needed strength !

Jan 02, 2013 10:46 PM #1
Rainmaker
161,583
Wika Hutchinson
Eugene, OR
Broker, CRIS, SFR, CDPE
Great post Michael. It's always good to understand the laws!
Jan 02, 2013 10:50 PM #2
Rainmaker
43,978
Dan & Linda Tublitz
RE/MAX Services Boca Raton FL - Boca Raton, FL

Wonderful blog, thanks for posting this info for everyone! 

Jan 02, 2013 11:41 PM #3
Rainmaker
150,196
Michael J. Gallo
Florida Luxury Realty - New Port Richey, FL
Florida Luxury Realty - Gulf Home Sales Team

Bill - Amen to That.

Wika - Sometimes with all the political hoop-la we can forget that what happens in Gov't actually affects us and our finances on a personal level.

Jan 03, 2013 12:16 AM #4
Rainmaker
270,169
Steve Warrene
Your Town Realty - Lower Burrell, PA
Pittsburgh Real Estate Investment Specialists

Michael, We hear about the Mortgage Forgiveness Debt Relief Act the other day and was happy to hear about that.  We closed a few Short Sales in 2012 and looking to close some more in 2013.  The extension of this will make life easier for those in need.

Jan 03, 2013 06:30 AM #5
Rainmaker
607,095
Fred Sed
Fred Sed Group ~ Your Premier Southern California Realtors - Irvine, CA
Your Orange County Realtor, Why? Because Fred Sed

Thanks Michael! I'm hoping the Mortgage Forgiveness Debt Relief Act will be the big one for our business in 2013. There are still a lot of hurting homeowners here in Southern California who can use the additional incentive.

Jan 03, 2013 11:35 PM #7
Anonymous
Nat Weiner

I'm a tax return preparer . Here are some tips for you real estate agents:

1) If this is your first year placing a lsited automobile (personal property converted to full or partial business use), you have a choice between actual expenses or standard mileage. But if you choose actual expenses, you must use that  method for every year the asset is in service. If you use standard mileage the first year, you have the choice in subsequent years of standard mileage or actual expenses.

 

2) The IRS is frowning upon Independent Contractors that don't claim business expenses on their Schedule Cs.

 

3) If you don't have an exact account of your expenses, the IRS accepts reasonable reconstructions.

 

4) Although it's helpful, a 1099-MISC is not essential in preparing a tax return. But if the figure you give the tax professional is not accurate, there will be problems later.

 

5) The cost of cleaning clothing suitable for outside wear is not deductible.

 

6) Do not wait until April 13 to bring your tax professional one hundred documents and expect to get your tax return in time.

 

7) If you file your return by 1/31/2013 and pay all your estimated tax, there will be no penalty.

 

8) If you do not have the money to pay your taxes, file anyway. The penalty for fsilure to file is 5% of the tax due per month.

 

Nat Weiner

Tax Return Preparer

New York, New York

mceairpgcc@yahoo.com

Jan 07, 2013 08:33 AM #8
Rainmaker
150,196
Michael J. Gallo
Florida Luxury Realty - New Port Richey, FL
Florida Luxury Realty - Gulf Home Sales Team

Thank you Nat. Excellent information to know come April 15th.

Jan 10, 2013 09:52 PM #9
Post a Comment
Spam prevention
Show All Comments

What's the reason you're reporting this blog entry?

Are you sure you want to report this blog entry as spam?

Rainmaker
150,196

Michael J. Gallo

Florida Luxury Realty - Gulf Home Sales Team
Contact Me Today
*
*
*
*
Spam prevention

Additional Information