Great News! 

Good news came out of the fiscal cliff deal for the housing market.  The Mortgage Debt Relief Act was extended! 

This allows sellers facing a foreclosure or short sale to exclude debt that is forgiven by a bank from being counted as income on their taxes.  For people already in a financial bind, the added tax (plus the potential to be pushed into a higher tax bracket) would have been devastating. 

Be aware, though, that we can’t count on another extension!  If you or ANYONE you know is underwater (owing more than your home is worth) you don’t want to wait too long to find out what your options are.  I would be happy to talk with anyone – I am a short sale expert!