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What a foreign real estate investor needs to know about investing in U.S. Real Estate

What a foreign real estate investor needs to know about investing in U.S. Real Estate

Foreign real estate investors have plenty to consider when they are purchasing property in the United States. One of the biggest considerations to be aware of, and one that raises the most questions, is the Foreign Investment in Real Property Tax Act of 1980, also known as FIRPTA. Read the rest of this entry

MORTGAGE DEBT FORGIVENESS RELIEF – PROPOSED EXTENSION

MORTGAGE DEBT FORGIVENESS RELIEF – PROPOSED EXTENSION

HAPPY NEW YEAR!!!! In the early morning hours on January 1st, 2013, an extension of the Mortgage Debt Relief Act of 2007 was passed by the Senate and many are hopeful will also be passed in the House by today. The legislation dealt with many issues, but relevant here is the amendment they made to the 2007 Act by striking the expiration date of “January 1, 2013” and inserting “January 1, 2014”. Without this extension, any debt forgiven by a lender due to a short sale, modification, or deficiency waiver would be considered taxable. Read the rest of this entry

How to Guide Real Estate Closings – Part II

There is a lot to gather together for a real estate transaction, but with the help of your friendly title agency, you shouldn’t have to go crazy!

The title company will need to know if this closing will be a mail away. A closing can take place without any parties actually coming to the closing. This can happen via overnight mail or email, depending on which side of the transaction you are on. If the seller is a foreign national or out of the country, the seller may need to coordinate an appointment at an Embassy for notary purposes, so the seller may need to plan ahead. Read the rest of this entry

Mortgage Forgiveness Debt Relief Act

When you borrow money from a lender and the lender later cancels or forgives the debt, you maybe required to include the cancelled amount as income for tax purposes, depending on the circumstances. Read the rest of this entry

First Time Homebuyer Credit RECALL!!

It was 2009, you just bought your first home.  You were on cloud 9!  You got your cake and ate it too because you took advantage of the First Time Homebuyer Credit.  Now, fast forward to 2012.  Your house is worth half of what you paid for it, your spouse lost his or her job and you’re struggling to put food on the table.  You’re unable to make your mortgage payment and in your best long term interest, you choose to Short Sale your home.  In steps me.   I list your home, find you a buyer and successfully negotiate an approved short sale.  Then, the bomb is dropped…  You took advantage of the First Time Homebuyer Credit and just now thought to tell me.  Unfortunately, this CANNOT be mitigated.  You need to know this whether you’re going through a foreclosure, short sale or traditional resale.  Read the rest of this entry