Things You Need to Know about the Mortgage Debt Relief Act

Hey guys, Kelly Cook here with the Kelly Cook Real Estate Group, your Phoenix real estate specialists. We can be found online at www.AZKCRealEstateGroup.com. We specialize in helping area homeowners find alternatives to foreclosure through the means of a short sale. Now the topic we are discussing today is very important. If there is no other video you watch, that we do or anyone out there does, about short sales, this is probably arguably the one to watch. Why, because it has to do with the mortgage forgiveness debt relief act. Now a lot of you are wondering what that is. Well, that is a piece of tax legislature that was put together and passed by Congress in 2007 that currently expires December 31, 2012. So you are running out of time to complete a short sale and have the potential of zero tax liability which is huge.

So, for someone who is thinking about doing a short sale right now, if their short sale closes on December 30, 2012 as opposed to January 2, 2013, that could have a huge financial impact on their finances. So if you are on the fence wondering if you should do a short sale and is this the right time? I'm here to tell you to get started right away because the banks are very slow. We push them and we have a very systematic process that we use in our office to negotiate short sales. With that being said, the banks still work on their own time frame.

So we always advise our own clients and customers to please give yourself as much time as possible to get the short sale done. With that being said, there is no time like the present to start. The average short sale can last 3 to 4 months and sometimes longer. So if you are out there wondering if a short sale is right for you, based on the tax liability alone that you could have potentially eliminated, if it closes by the end of this year, please give us a call. We can talk more about the legislation and if it will be potentially postponed. As of right now, it is set to expire. Give us a call at 480-442-9868. You can also email us at info@kellycookhomes.com or simply contact us through our website here at the contact us tab. You can also go to our short sale calculator which is a useful tool that gives you a break even analysis that will show you when your home will hopefully be an asset again.

Again, I'm Kelly Cook with the Kelly Cook Real Estate Group, one of Phoenix’s leading short sale teams and we are here to help answer any questions you have. Thank you very much for your time and I look forward to speaking with you soon.

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