14 Feb 2014 Mortgage Debt Relief Act Extension
Guest Blogger – Donna Lutkins, Realtor
January 20th, 2015
Just before Christmas, President Obama signed a bill that extended the Mortgage Forgiveness Debt Relief Act retroactively to cover mortgage debt cancelled in 2014. The Mortgage Forgiveness Debt Relief Act (MFDRA) prevented homeowners, who went through a short sale in 2014, from being taxed on the amount of their home mortgage debt that had been forgiven. For homeowners to qualify for a tax break in 2014, their short sale must have closed by December 31, 2014.
The Act was only extended through December 31, 2014. Congress is expected to debate further extension of the Act as part of a larger tax package in 2015. In the meantime, mortgage debt forgiven by a lender in 2015 might count as taxable income.
For more information and details, click on the link below:
http://www.irs.gov/Individuals/The-Mortgage-Forgiveness-Debt-Relief-Act-and-Debt-Cancellation
As a resident of Loudoun County for over 20 years, I’m very familiar with the county’s wonderful communities and neighborhoods. While I do business in many parts of Loudoun County and Fairfax County, I specialize in Eastern Loudoun including, the communities of Sterling, Potomac Falls, Ashburn and Leesburg.
Real estate can be a complicated and many times frustrating experience for both home sellers and buyers. This is especially true for homeowners who are underwater and facing the prospect of foreclosure. My mission and passion is to be your advocate and to help you navigate your real estate transaction every step of the way. Your satisfaction is my number one goal and I am committed to service with an emphasis on accountability, reliability, timeliness and enthusiasm. I provide my clients all the information necessary to help them make real estate investment decisions that are right for them and their families.
