Taxation Of Forgiven Indebtedness and the Mortgage Forgiveness Debt Relief Act Of 2007 Taxation of Forgiven Debt Generally, if you owe a debt to a lender and the lender cancels or forgives that debt, the cancelled amount may be taxable. The theory is that the money you received when you borrowed it was not included…
Fed Government Announces $25 Billion Mortgage Relief Plan Here is your “Boiled Down” overview of the plan. On Thursday, the federal government announced a $25 billion dollar settlement it has reached with the nation’s largest banks that is designed to provide relief for homeowners who are struggling to pay their mortgages. The settlement arises in…
Is Property “Flipping” Illegal? The term “property flipping” refers to a transaction in which an investor contracts to purchase property and then enters into an agreement to resell the property, immediately or within a very short period of time, at a higher sales price, resulting in a profit to the investor. When a transaction is…
Are Unregistered Ground Rents Extinguished After September 30, 2010? On May 8, 2010, Governor O’Malley signed into law Chapter 290, HB 580 entitled “Ground Rents – Registry of Properties Subject to Ground Leases” (the “Act”) which provides for the creation of an on-line registry for properties subject to ground rents and requires that all ground…
Surprised Owners Find That Personal Liability Looms For Unpaid HOA Aand Condo Fees (And Can Result In Additional Closing Costs For Purchasers) When owners of property that is subject to the payment of mandatory HOA or condominium dues and assessments fail to pay, the “traditional” collection method employed by most associations is to file a…
Goldstein & Levy, P.A., General Counsel Legal Bulletin September 27, 2011 | MAR Makes Revisions In October, 2011 Contract Forms The Maryland Association of Realtors (“MAR”) has made the following changes to the MAR Contract forms, which have been incorporated into the October 1, 2011 revisions: MAR Residential Contract of Sale Paragraph 16 (the Lead…
Fraud Scam With A Smartphone We would like to alert you to a new fraud scam involving an emerging technology that enables individuals to deposit checks via a “Smartphone.” Many banks and other online payment sites like PayPal are offering downloadable applications for Smartphones (like iPhones and Androids) that use the phone’s camera feature to…
SCAMS: If It Seems Too Good To Be True… In recent months (and more so in recent weeks) we’ve gotten calls from many real estate professionals asking us to review suspicious email inquiries from overseas purchasers. A sample of an inquiry is below: “I will like to offer $790,999 MLS#:__________ because I love the curb…
NEW FTC Mortgage Information Rule Affects Brokers And Agents The Federal Trade Commission (“FTC”) recently enacted the Mortgage Acts and Practices – Advertising Rule (“MAP”) which went into effect on August 19, 2011 and which applies to, among others, real estate brokers and agents that provide mortgage information to consumers, such as providing a purchaser…
Goldstein & Levy, P.A., General Counsel Legal Bulletin July 11, 2011 | Make Some Money and Make A Difference As Well “Bargain Sales” to Charity What is a “Bargain Sale”? A “Bargain Sale” is a sale of property to qualified charity (recognized by the IRS as a valid, Section 503(c) organization) at less than its…