Atlanta Real Estate Blog

President Bush signed the Mortgage Relief Act today.  The Forgiveness act will allow sellers to sell their homes by short sale without receiving a Form 1099 for the deficiency ( difference between what they owed the lender for their home and what they received from a short sale).  This Act is retroactive from January 1, 2007 and will last until December 31, 2009. That means if you sold your house in a short sale this year, you will not have to pay taxes on the amount you were short. 

For the details, click here:  The Mortgage Relief Act

If you need to sell your house because of

•     job loss,
•     divorce or separation,
•     medical bills,
•     business failure,
•     adjustable rate mortgage reset, or similar reasons,

but you owe more than your home is worth, then you won't have to pay taxes on your loss or have a 1099 that raises you to a higher tax bracket.

If you are facing foreclosure, take advantage of the Mortgage Relief Act now.  Act now to start fresh in 2008!