There is some relief for the homeowners of Michigan who have already moved into a new home and are still trying to sell their previous residence.
The number of days homes languish on the market has continued to rise leaving many homeowners stuck paying two mortgages when they decide to move.
New legislation in Michigan will enable home sellers to retain 2 principal resident exemptions for property still on the market after the seller has moved elsewhere in the state.
The Michigan Association of Realtors (MAR) reported that House Bill 4215, now Public Act 96 of 2008 sponsored by Representative Ed Gaffney (R-Grosse Pointe Farms) enacts that the seller can retain an additional exemption for up to three years on property previously exempt as the owner's principal residence if the following circumstances are met:
the property is not occupied,
the property is for sale
the property is not leased or available for lease
the property is not used for any business or commercial purpose
This is of great relief to home sellers who are not only stuck with two mortgages, but also hurt by the rising taxes in the non-homestead property they are trying sell.