The Mortgage Relief Act Ending Soon / IRS Consequences

Tick tock, tick tock..time is running out on the Mortgage Tax Relief Act

Yes, the Mortgage Relief Act which eliminates mortgage debt runs out on Dec. 31, 2012.

Otherwise, if your home does not close escrow by the last day of the year, you will be liable for any tax forgiveness. (IRS penalties!)

If you are in financial hardship due to job loss, serious drop of income, serious illness, etc and are considering a short sale, your time to do so is just about now.  Depending on the situation, a short sale can take up to 6 months or even longer to close escrow. With this timeline in mind, the time to start the process is now.

And just remember, most short sales require no out of pocket costs to the seller.  In the meantime, you can continue to live in your existing home “rent free” so to speak until your home successfully closes escrow.

So call me today if you need more information on exploring this option.

Thank you!

Alex Kybal, Broker-Associate

REALTOR, ABR, SFR, SRES, SRS, CDPE, e-PRO,

RE/MAX Pacific, 8880 Rio San Diego Dr., #270, San Diego, CA 92108

TOLL FREE: (888)504-2004

Mobile:858)531-0636 www.alexkybal.com

San Diego Foreclosure Solutions: hosted.cdpe.com/alexcanhelp/

email: alexkybal@alexkybal.com

"Your home. My focus."

Note: All information is demmed reliable but not guaranteed. Like all important financial decisions, we advise you to to seek legal and tax advice before making a choice. All information is provided as an "as is" basis.  CA DRE#01388372