Recent Short Sale Action by Freddie Mac

Recently you may have heard about Freddie Mac’s abrupt cancellations of short sales. Perhaps this might have happened to someone you know looking to purchase or sell their home and now involved in a cancellation.
To truly understand the background behind this change I invite you to read here:

http://www.mirealtors.com/content/News.htm?view=3&news_id=263&news=1%2C2

The bottom line is its imperative to have a strategy in place to avoid the triggers that may cause the short sale to be canceled. Currently Freddie Mac has made a decision that if the home has already gone through sheriff’s sale then short sales will only be considered on a case by case basis. Previously, in michigan, homeowners were continuing through short sale after the sheriffs sale. However that will no longer be the norm.
What does this mean? It means if you know of someone facing this situation its imperative they speak with a real estate professional sooner rather than later. If foreclosure proceeding are already started it might be too late, so taking taking action preferably 3-6 months prior to this will allow for the proper strategy to be put in place.

As is the case with every single real estate transaction, each case is different, so talking through specifics is key!

New Law to Assist on Principal Residence Exemption Passes the Senate

Here’s the word straight from Michigan Association of Realtors
“Principal Residence Exemption Legislation Unanimously Passes Senate

Today, the Michigan Senate voted 38-0 in support of legislation providing a fair process when it comes to their property taxes.

Senate Bill 349, sponsored by Senator Dave Hildenbrand (R-Lowell) creates two Principal Residence Exemption (PRE) filing dates; one on June 1st, and the other on November 1st. Additionally, this legislation allows bank-owned properties to retain their PRE so that buyers can qualify at the lower rate of taxation. This is particularly important since foreclosures have flooded the market in recent years.

Senate Bill 349 now heads over to the House for consideration. The MAR greatly appreciates the hard work that was put forth in crafting this legislation, and is pleased that Senators on both sides of the aisle unanimously supported its passage. The MAR will continue to keep the membership updated as this bill makes its way through the legislative process. “

Did you purchase a home in 2008 You Are Now Considering Selling?

Here’s a link straight to the source on the 2008 buyers incentive for first time home buyers and how it may affect the sale of your home if you are looking to sell it this year: http://www.irs.gov/taxtopics/tc611.html