A recent survey performed by the well known foreclosure agency You Walk Away .Com revealed some startling statistics. Of the clients that responded to their survey 78% were walking away from their primary residence and a minimum of 74% were eligible for tax relief under the guidelines of the Mortgage Debt Relief Act.
Co-Founder Chad Ruyle stated that had the Relief Act not been extended until the end of 2013 that “it could have brought a drastic halt to short sales and had a devastating effect on underwater homeowners”.
In some states timelines for foreclosures can easily take a year or longer. For this reason it is expected that the new extension is not likely to encourage people to default on their mortgage but will do exactly what it is intended to do; to assist distressed homeowners that are already experiencing serious difficulties.
Hopefully the extension will provide the motivation and means for Las Vegas homeowners to avoid the foreclosure process with a better alternative such as the short sale of their home.