America's job market has been a little unstable and even a little scary lately. So does it make sense in this unstable time to try and save your home...? OF COURSE IT DOES!
Is your monthly budget feeling the strain of your credit card bills? If you are like many other homeowners by the time you have paid your mortgage, utilities, insurance, and credit card bills there is very little left for anything else. If you have equity in your home you can use this to consolidate your higher interest debt into one manageable monthly payment. This works if you can get your spending habits under control; cutting up your credit cards may be the only option to prevent a relapse of credit card debt.
A close family friend, lost his job 2 1/2 years ago. He and his wife could not keep up with the mortgage payments. They ended up losing their house to foreclosure. They tried a couple of different ideas that they had come across and found nothing that would work for them. So they gave up and let the foreclosure take their home. But now looking back he regrets not looking at every idea or company that sounded like they might be able to help. The foreclosure ruined their credit and 2 1/2 years late it hasn't gotten any better.
A taxpayer that qualifies should receive a Form 1099-C or Cancellation of Debt, from its lender. The form will be the legal proof that shows how much was forgiven from its mortgage debt and its fair market value. And then will be qualified to claim tax relief, by completely filling out Form 982. This is the Reduction of Tax Attributes Due to Discharge of Indebtedness form.
To avoid making these mistakes you need to do your homework and research a variety of mortgage lenders before applying. To learn more about avoiding common mortgage mistakes and save money in the process, register for a free mortgage guidebook.
Is your monthly budget feeling the strain of your credit card bills? If you are like many other homeowners by the time you have paid your mortgage, utilities, insurance, and credit card bills there is very little left for anything else. If you have equity in your home you can use this to consolidate your higher interest debt into one manageable monthly payment. This works if you can get your spending habits under control; cutting up your credit cards may be the only option to prevent a relapse of credit card debt.
A close family friend, lost his job 2 1/2 years ago. He and his wife could not keep up with the mortgage payments. They ended up losing their house to foreclosure. They tried a couple of different ideas that they had come across and found nothing that would work for them. So they gave up and let the foreclosure take their home. But now looking back he regrets not looking at every idea or company that sounded like they might be able to help. The foreclosure ruined their credit and 2 1/2 years late it hasn't gotten any better.
A taxpayer that qualifies should receive a Form 1099-C or Cancellation of Debt, from its lender. The form will be the legal proof that shows how much was forgiven from its mortgage debt and its fair market value. And then will be qualified to claim tax relief, by completely filling out Form 982. This is the Reduction of Tax Attributes Due to Discharge of Indebtedness form.
To avoid making these mistakes you need to do your homework and research a variety of mortgage lenders before applying. To learn more about avoiding common mortgage mistakes and save money in the process, register for a free mortgage guidebook.