HOW TO SELL REAL ESTATE FAST

Whether you are selling your property By Owner or have enlisted the services of a real estate agent, broker or realtor, there are certain things you should know to sell your property fast.

Choosing the right real estate attorney is key.  This one factor will determine whether your closing is smooth and effortless or not.  A real estate attorney representing a seller not only prepares the Contract for Sale and Purchase for the potential buyer but makes sure all the terms of the Contract favor the seller.  Items such as prorated taxes, documentary stamp taxes, lien search, financing contingencies and deposits, need to be considered before entering into the transaction.  Once a contract is signed by all parties, an attorney or agent can not come in and change any unfavorable terms. So it is important to get it done right from the beginning.

The seller will also need to address any open permits, violations as well as know their mortgage balance before entering into a contract so as to not cause any delays for the buyer or their agents.

Staging is also very important in order to obtain the highest price.  Studies show that a buyer makes up their mind on whether to place an offer or not, from the first seconds they enter the house. Clutter, unkept corners, dull paint and other factors may affect the price you obtain.  All this can be discussed either with your realtor or attorney to make sure you get the best price.

A home appraisal can also be obtained in order to know what is the highest price you can get for your property.

As a seller, it is important to know your buyer. And again, that is where we come in. If they are buying cash, you have the right to request a proof of funds.  A recent bank statement that will prove they have the funds readily available to close.  If financing, the buyer will need to show a pre-approval letter.  Many of these are prepared hastily for buyers and sellers often don’t know what to look for.  We call the lender and make sure the buyers credit has been assessed and the bank will commit to giving the financing.  This one factor alone makes for a smooth and quick closing.

So many factors come into play when selling real estate.

 A real estate lawyer handles many aspects of the transaction for the seller.  From preparing and overseeing the Contract for Sale and Purchase, to examining title and attending the closing

At the Law Offices of Jacqueline Salcines, P.A. we represent sellers with all of their real estate and mortgage needs.    Attorney Jacqueline Salcines, Esq. personally handles all her own closings and is at the closing table with you to personally explain all documents required at closing.  This includes signing of the Warranty Deed, Bill of Sale and FIRPTA or Gap Affidavit

The Law Offices of Jacqueline Salcines, P.A. is a full service real estate law firm offering real estate, title, mortgage and escrow services.

Contact us today.  No office visit is required and the phone consultation is 100% free of charge.  Call and speak to attorney Jacqueline A. Salcines, Esq. Today!

TRUST |  COMMITMENT  | RESULTS

Jacqueline A. Salcines

Jacqueline A. Salcines

JACQUELINE A. SALCINES, ESQ.
706 S. DIXIE HIGHWAY
SECOND FLOOR
CORAL GABLES, FL 33146
TEL. 305 669 5280
EMAIL: J.SALCINES@SALCINESLAW.COM
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WHO ARE THE FOREIGNERS BUYING PROPERTY IN THE UNITED STATES?

110_F_43527009_rh8s7ENXwIyidxTIjxYKZoB6Wggnvwqc International home buyers are attracted to the United States not only because of favorable housing prices, but because of the United States’ economic stability.  Many countries, such as Venezuela, Colombia, Cuba, Italy, China and Sweden face financial and economic instability and uncertainty.  Oversees buyers in these countries, including Canada, Switzerland and the U.K. see the United States and our local housing markets as a great investment.

Foreign buyers face no taxes or consequences when buying property in the United States and can often double or triple their investments by either holding on to the investment to use as a second home or for rental purposes.  “The U.S. real estate market has experienced an incredible recovery  mode and cash buyers are more typical these days, then financed purchases.”  Says Jacqueline Salcines, Esq., a real estate attorney, accountant and realtor.  “Performing closings day in and day out, not only for regular properties, but distressed and short sale properties as well, the typical buyer these days is a foreigner with cash.”

 A real estate lawyer in the United States and Florida handles many aspects of the transaction for the foreign buyer.  From preparing and overseeing the Contract for Sale and Purchase, to examining title and attending the closing, a foreign buyer should not go it alone.  With so many properties still in foreclosure, the real estate market can be daunting.  A property’s title can be filled with many claims that the potential foreign buyer is not aware of.  Only by preparing a full examination of the title and title insurance, is the foreign buyer protected.

At the Law Offices of Jacqueline Salcines, P.A. we represent borrowers and homeowners with all of their real estate and mortgage needs.  From initial applications and searching for programs for their mortgage needs, to  working closely  with the borrower and lender to obtain the full amount required, we are there every step of the way.  Attorney Jacqueline Salcines, Esq. personally handles all her own closings and is at the closing table with you, the borrower, to explain all documents requiring signature.  This includes signing of the mortgage, promissory note, truth in lending and all disclosures.

TYPE OF ENTITY FOR THE PURCHASE

As both an accountant and business lawyer, Jacqueline Salcines, PA has knowledge of what is the best structure for your purchase.  Should a foreigner purchase in their individual capacity, or form an LLC (limited liability company)?  Federal corporate tax rates can be high and there is no capital gains treatment for C corporations.  So knowing the best entity to make the purchase before you enter into a contract is smart business practice.

The Law Offices of Jacqueline Salcines, P.A. is a full service real estate law firm offering real estate, title, mortgage and escrow services.

Contact us today.  No office visit is required and the phone consultation is 100% free of charge.  Call and speak to attorney Jacqueline A. Salcines, Esq. Today!

TRUST |  COMMITMENT  | RESULTS

Jacqueline A. Salcines

Jacqueline A. Salcines

JACQUELINE A. SALCINES, ESQ.
706 S. DIXIE HIGHWAY
SECOND FLOOR
CORAL GABLES, FL 33146
TEL. 305 669 5280
EMAIL: J.SALCINES@SALCINESLAW.COM
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BUYING A HOME IN THE U.S.

HOW DO FOREIGNERS GO ABOUT BUYING PROPERTY IN THE UNITED STATES?

The most important and first decision to make when considering purchasing real estate in the United States is to hire a real estate attorney.  This one decision will determine whether the final result is a smooth and successful closing or not.

A real estate lawyer in the United States and Florida handles many aspects of the transaction for the foreign buyer.  From preparing and overseeing the Contract for Sale and Purchase, to examining title and attending the closing, a foreign buyer should not go it alone.  With so many properties still in foreclosure, the real estate market can be daunting.  A property’s title can be filled with many claims that the potential foreign buyer is not aware of.  Only by preparing a full examination of the title and title insurance, is the foreign buyer protected.  Below are the steps for a real estate transaction in the United States:

  1. Offer.  The buyer prepares an offer to submit to the seller for consideration. This offer will take many different issues and terms into consideration including how much to give down, whether there will be a financing contingency, AS-IS, whether buyer is assuming repairs, whether buyer has right to inspect, whether there is a condominium association that requires approval. The real estate lawyer prepares the offer and makes sure all terms protect the buyer.
  2. Earnest Deposit.  Once the offer is signed and a binding contract created, the deposit is due.  The real estate lawyer will hold the deposit in escrow or trust for the protection of the buyer.
  3. Inspections.  Inspections are usually performed and due within 10 days of the date of signing and must be done timely. We assist to make sure the buyer not only meets deadlines, but review the inspection report.  If there is any item in the inspection report that requires fixing or a monetary credit from seller, this is taken care of too by us.
  4. Loan Application.  This is also done once the contract is finalized.  That means, the buyer must go to a lender and apply for financing.  The lender will require an appraisal and will supply a Good Faith Estimate of closing costs.  We are in constant contact with the  lender from the beginning in order to assure that you are being charged a correct amount, the interest rate is fair and the appraisal is reviewed.  Buyer will need to sign certain disclosures and other bank documents, which flow through us first for review and clarification.  The borrower buyer is never alone in the transaction.
  5. Deadlines.  There are important deadlines throughout the real estate Contract. Deadlines for financing, inspections, due diligence and loan commitments just to name a few. We are on top of all the deadlines for the buyer to make sure that the deposit is never placed in jeopardy of losing.
  6. Home Owner Association/Condominium Association: We request an estoppel to make sure that there are no amounts due that need to be collected at closing from seller. We also verify any violations by the board as well as approval of the buyer.
  7. Title Examination.  We review the title and issue a title insurance commitment so that the buyer is protected in their purchase against all claims on title to the property.
  8. Survey.  If a property that is single family, or other stand alone, we will order a survey and review for any and all easements, encroachments, etc that could affect buyer.
  9. Lien Search.  We order a lien search to verify there are no code violations, open permits, or other county liens or violations that could affect the buyers title after closing.
  10. HUD-1 Settlement Statement: As we get closer to closing, the lender will send us their figures and we plug in all numbers to prepare a HUD for the buyer. This will be the amount that needs to be brought to closing.
  11. Seller Docs. We can also prepare the Warranty Deed, Bill of Sale and all documents for the seller to sign at closing to finalize the transfer of the property to the buyer.

Aside from those services listed, we also offer other services to the buyer including:

  • Incorporation of an LLC, S Corp or C Corp to use as the name on the title
  • FEIN numbers
  • Power of Attorney preparation
  • Quit Claim Deed
  • Negotiation and settlement of liens and judgments for the seller

At the Law Offices of Jacqueline Salcines, P.A. we represent borrowers and homeowners with all of their real estate and mortgage needs.  From initial applications and searching for programs for their mortgage needs, to  working closely  with the borrower and lender to obtain the full amount required, we are there every step of the way.  Attorney Jacqueline Salcines, Esq. personally handles all her own closings and is at the closing table with you, the borrower, to explain all documents requiring signature.  This includes signing of the mortgage, promissory note, truth in lending and all disclosures.

TYPE OF ENTITY FOR THE PURCHASE

As both an accountant and business lawyer, Jacqueline Salcines, PA has knowledge of what is the best structure for your purchase.  Should a foreigner purchase in their individual capacity, or form an LLC (limited liability company)?  Federal corporate tax rates can be high and there is no capital gains treatment for C corporations.  So knowing the best entity to make the purchase before you enter into a contract is smart business practice.

The Law Offices of Jacqueline Salcines, P.A. is a full service real estate law firm offering real estate, title, mortgage and escrow services.

Contact us today.  No office visit is required and the phone consultation is 100% free of charge.  Call and speak to attorney Jacqueline A. Salcines, Esq. Today!

TRUST |  COMMITMENT  | RESULTS

Jacqueline A. Salcines

Jacqueline A. Salcines

JACQUELINE A. SALCINES, ESQ.
706 S. DIXIE HIGHWAY
SECOND FLOOR
CORAL GABLES, FL 33146
TEL. 305 669 5280
EMAIL: J.SALCINES@SALCINESLAW.COM
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TAX AND LEGAL ISSUES FOR FOREIGNERS BUYING U.S. REAL ESTATE

Can a foreigner buy property in the US?  The answer is yes.  It is really much easier than one thinks.

TYPE OF PROPERTY

Single family homes:  The purchasing of single family homes is really much easier than a foreigner thinks. Obviously , in the day and age where we are just recovering from the foreclosure debacle, it is of utmost important that a buyer hire a real estate lawyer who is also a title agent title company in order to examine title.  Title will need to be free and clear of any and all judgments and liens, and the foreclosure file solid. That means, no party can come back after the fact and make a claim for the property.  We perform all these services as a full and complete real estate and title company

Condominiums.  Condominiums are just as easy to purchase, the only difference being a Board of Directors screening or background check of the foreigner as well as approval.  These too require a knowledgeable attorney and title company to streamline the process for the foreigner.

Cooperatives.  These are a little more difficult to purchase as they often require all purchasers to be interviewed and they legally have the ability to reject a buyer without providing a reason.  A cooperative or Co-Op may also have strict requirements for ownership and not cater to non-resident owners.  We can streamline the process and be the liaison between the board and the buyer in order to ensure that all moves quickly and easier for the buyer.

At the Law Offices of Jacqueline Salcines, P.A. we represent borrowers and homeowners with all of their real estate and mortgage needs.  From initial applications and searching for programs for their mortgage needs, to  working closely  with the borrower and lender to obtain the full amount required, we are there every step of the way.  Attorney Jacqueline Salcines, Esq. personally handles all her own closings and is at the closing table with you, the borrower, to explain all documents requiring signature.  This includes signing of the mortgage, promissory note, truth in lending and all disclosures.

TAX IMPLICATIONS

While foreigners do not have tax implications at the time of purchasing, there are implications at the time of sale.  A foreign person may need to pay gains tax and FIRPTA withholding tax on the capital gains.   FIRPTA is a withholding tax for foreign sellers of 10% of the gross sales price.  this is remitted to the IRS to ensure that the tax return is filed that discloses the gain.  If the seller is current on all their taxes owed to the IRS, then they will receive a refund of the 10% that was withheld.  Trust with foreign beneficiaries and foreign corporations that sell a US property also have a higher withholding of 35% of the amount realized on the sale.

TYPE OF ENTITY FOR THE PURCHASE

As both an accountant and business lawyer, Jacqueline Salcines, PA has knowledge of what is the best structure for your purchase.  Should a foreigner purchase in their individual capacity, or form an LLC (limited liability company)?  Federal corporate tax rates can be high and there is no capital gains treatment for C corporations.  So knowing the best entity to make the purchase before you enter into a contract is smart business practice.

The Law Offices of Jacqueline Salcines, P.A. is a full service real estate law firm offering real estate, title, mortgage and escrow services.

Contact us today.  No office visit is required and the phone consultation is 100% free of charge.  Call and speak to attorney Jacqueline A. Salcines, Esq. Today!

TRUST |  COMMITMENT  | RESULTS

Jacqueline A. Salcines

Jacqueline A. Salcines

JACQUELINE A. SALCINES, ESQ.
706 S. DIXIE HIGHWAY
SECOND FLOOR
CORAL GABLES, FL 33146
TEL. 305 669 5280
EMAIL: J.SALCINES@SALCINESLAW.COM
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THE NEW FHA203K LOAN

The new FHA 203k loan for structural repairs is here and now available.  This new FHA loan has many facets including the following:

  1. FHA 203 Streamline:  This loan allows borrowers to finance their purchase or refinance an existing loan to make improvements to the home or upgrades.  This can be up to $35,000.00 and a minimum of $5,000 in repair costs required.
  2. FHA 203 Full:  This program allows borrowers to finance the purchase of their home or apply for a refinance o an existing home to complete: major renovations, improvements or structural repairs.  The “major improvements must be up to 50% of the “subject-to appraised value”.  The minimum total repair is again $5,000.00 and the work is to be completed after the loan closes.

 

At the Law Offices of Jacqueline Salcines, P.A. we represent borrowers and homeowners with all of their real estate and mortgage needs.  From initial applications and searching for programs for their mortgage needs, to  working closely  with the borrower and lender to obtain the full amount required, we are there every step of the way.  Attorney Jacqueline Salcines, Esq. personally handles all her own closings and is at the closing table with you, the borrower, to explain all documents requiring signature.  This includes signing of the mortgage, promissory note, truth in lending and all disclosures.

The Law Offices of Jacqueline Salcines, P.A. is a full service real estate law firm offering real estate, title, mortgage and escrow services.

Contact us today.  No office visit is required and the phone consultation is 100% free of charge.  Call and speak to attorney Jacqueline A. Salcines, Esq. Today!

TRUST |  COMMITMENT  | RESULTS

Jacqueline A. Salcines

Jacqueline A. Salcines

JACQUELINE A. SALCINES, ESQ.
706 S. DIXIE HIGHWAY
SECOND FLOOR
CORAL GABLES, FL 33146
TEL. 305 669 5280
EMAIL: J.SALCINES@SALCINESLAW.COM
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BUYING REAL ESTATE PROPERTY IN THE UNITED STATES

FOREIGN BUYERS IN THE UNITED STATES 20130201-182045.jpg

Foreign Nationals are permitted to own real estate in the United States.  In fact, there are very few difference between a foreign and U.S. buyer when purchasing real estate.  It is important that foreign buyers understand certain information about U.S. real estate practices that vary greatly from country to country.

  1. Transparency:  In the U.S. every real estate purchase must be transparent.  This means, that unlike many countries, where buyers can fly under the radar, in the United States properties are placed on the MLX and readily open to the public.  Once the sale takes place, the deed is recorded in the Public Records of the County where the property lies.  This document is the title and reveals the buyers name and address.  Commissions are also revealed on the HUD Settlement Statement and if financing, the lender will collect certain documents that will also require the buyer to reveal bank statements, bank records, tax returns and other confidential data.
  2. Financing:  Over the last couple of years, banks have loosened their restrictions significantly on Foreign Nationals.  More qualified buyers can obtain financing when generally giving a 30% down payment. Most banks require the following for the foreign national programs:
  • $100,000 on deposits in a bank
  • 30% down payment (40% in Miami)
  • $3,000.000 loan limit (property value no more than $4.3 million)
  • 12 months reserves for mortgage, maintenance and taxes required
  • 30 year and 15 year fixed rate mortgages available

4.   No need to travel to the U.S. to close the deal.  At the closing, if it is a cash deal, there is no need for the foreigner to sign in person.  If lender financed, often a power of attorney can be provided to avoid the necessity of coming into the country to sign.  Monies are exchanged via wire transfer and you are done.

5.    Foreign Buyer Can Defer Capital Gains Taxes by Buying Another Investment Property: While Foreign Nationals may be subject to the FIRTPA tax (10% withholding at the time of sale), the U.S. government allows foreign sellers to use Section 1031 of the IRS Code to defer gains when they purchase another property within a certain amount of time from the sale.

6.   Foreign Buyers can avoid U.S. Estate Tax:  With some fancy planning, at the death of a foreign buyer, his estate though typically taxed at 46%, it can be avoided.  A Limited Liability Company can be set up with a Foreign Corporations.  The LLC would own the property, and the Foreign Corp would own the LLC. This is tricky and if not done right, can trigger a taxable event.  So it is important to consult with an  attorney/accountant prior to set up

Many other benefits apply to foreign buyers of U.S. real estate.

At the Law Offices of Jacqueline A. Salcines, attorney Jacqueline Salcines, Esq.  is both a real estate attorney and accountant, able to give legal and tax advice.

No office visit is required and the phone consultation is 100% free of charge.  Call and speak to attorney Jacqueline A. Salcines, Esq. Today!

TRUST |  COMMITMENT  | RESULTS

Jacqueline A. Salcines

Jacqueline A. Salcines

JACQUELINE A. SALCINES, ESQ.
706 S. DIXIE HIGHWAY
SECOND FLOOR
CORAL GABLES, FL 33146
TEL. 305 669 5280
EMAIL: J.SALCINES@SALCINESLAW.COM
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MODIFICACION DE PRESTAMO BAJO EL PROGRAMA HAMP

 

UNA MODIFICACION DE PRESTAMO EFECTIVA

Por: Jacqueline Salcines,  Esq.

Abogado de Defensa de Foreclosure y Modificaciones de Prestamo

Demasiado propietarios han aceptado modificaciones de su Préstamo Hipotecario donde sus nuevas mensualidades son mayores a los de la hipoteca original.  Tambien tienen el balance final del principal en la Modificación muchísimo mayor al valor actual de su propiedad. O, peor, otros propietarios terminan perdiendo sus propiedades por que no tienen la capacidad de completar una Modificación del Préstamo antes que la propiedad sea rematada públicamente en foreclosure.

Muchos propietarios no esta enterados de como actualizar  une Efectiva y Sustentable Modificación de Préstamo Hipotecario.
Loan Modification Green Road Sign with dramatic clouds and sky. Reducción de Principal Alternativo: Si el valor actual de su propiedad es menos del balance adeudado, o sea, no tiene plusvalia, Ud. puede ser elegible para PRA.   El Programa governal  de Home Affordable Modificaction Program (HAMP) puede reducer su interes al 2%, reducer o pedornar principal y alargar la amortizacion.  En efecto, reduciendo su pago mensual para que pueda pagar nuevamente su hipoteca.  PRA tiene criteria estricta, y para ser eligible, la casa debe ser su propiedad principal (residencia primaria). Además tiene que estar atrasado en sus pagos o en lo que llaman “eminent default” o en peligro de caer en retraso imediatamanete.  Para calificar, su pago hipotecario al mes debe ser mayor al 31% de sus ingresos brutos mensuales.  El programa  PRA puede reudicr el balance de principal en su préstamo  al valor actual del mercado.
El programa  PRA tiene otros  criterios y le invitamos que nos llame para ver si Ud. califica.  No se cobra por la consulta y podemos determinar con nuestro programa sofisticado de Modifcaciones, si Ud. califica para PRA.
Programa de Modificación de Segundas Hipotecas– Si ya Ud. modifico su  primera hipoteca  permanentemente bajo HAMP y Ud. tiene una segunda hipoteca en la misma propiedad, Ud. puede ser elegible para cancelar la segunda hipoteca con un arreglo o “settlement”, dependiendo de el valor de la casa, su plusvalia, y el balance de la segunda hipoteca.  Tambien, existe una modificación o reducción de principal bajo el Programa de Modificación de Segundas Hipotecas (2MP). Para calificar a 2MP su Banco debe estar participando también en el Programa y Ud. debe estar al día en sus pagos de la modificación por HAMP.
Defensa Mientras Modifica — La tercera y importante consideracion es asegurarse que su Banco no proceda con el Foreclosure antes que Ud. haya finalizado la Modificación de Préstamo.  Porque Ud. haya aplicado para una Modificación su Banco va a detener la acción de Foreclosure en su propiedad. A menos que Ud. contrate a un Abogado calificado y con experiencia para defender sus intereses en el Foreclosure, todo el tiempo y la energía invertida intentado la Modificación de su préstamo puede convertirse en un desperdicio.
Una explicación más detallada de todas las opciones disponibles y al alcance de propietarios en Foreclosure o en peligro de caer en Foreclosure se le puede dar durante una consulta gratis.
Si Ud. tiene problemas para hacer sus pagos mensuales de hipoteca, o acaba de recibir el Foreclosure Summons, contacte hoy mismo al abogado  Jacqueline Salcines, Esq. para agendar una consulta gratuita, o simplemente visite www.salcineslaw.com para mas información.

TRUST |  COMMITMENT  | RESULTS

Jacqueline A. Salcines

Jacqueline A. Salcines

JACQUELINE A. SALCINES, ESQ.
706 S. DIXIE HIGHWAY
SECOND FLOOR
CORAL GABLES, FL 33146
TEL. 305 669 5280
EMAIL: J.SALCINES@SALCINESLAW
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SHORT SALES IN FLORIDA

SHORT SALES IN FLORIDA

Is your house worth less than you owe the bank? Do you want to resolve the debt with your lender and move on? If yes, a Short Sale may be the answer for you.

At the Law Offices of Jacqueline A. Salcines, P.A., we will work with your lender together with experienced realtors to help sell your home for less than you owe. In a short sale, most lenders accept the home sale price as the full repayment of your loan, even if your house sells at a loss. We work towards getting not only your deficiency waived. We also work to get you relocation assistance, currently $10,000.00 under HAFA.  This will allow you to have finality and move on.short-sale-contract

Many lenders/banks prefer short sale over foreclosure. Some will even postpone foreclosure to give you time to sell. Many short sales end up costing the homeowner ZERO. The commission is paid from the sale.

If you decide that a short sale is your best solution, we work with realtors on all documentation, procedures and discussions with the bank. Attorney Jacqueline Salcines is experienced and has in-depth knowledge of the local real estate market and lender short sale practices.  We know the strategies that work and the processes that will lead to a cost-effective solution to your problem.
In a short sale, the lender accepts less than the full amount owed to satisfy the mortgage. This arrangement has several benefits.

  • Homeowner/Seller: The homeowner completely avoids foreclosure and becomes free of the house note
  • Buyer: A home buyer purchases the house at a desirable price
  • Lender: The lender mitigates expenses that would be incurred if the home went into foreclosure

Our friendly, knowledgeable staff has a wealth of experience in short sales. We offer effective representation in short sale negotiations, workout negotiations and foreclosure defense representation. Contact us today for your free consultation!

No office visit is required and the phone consultation is 100% free of charge.  Call and speak to attorney Jacqueline A. Salcines, Esq. Today!

TRUST |  COMMITMENT  | RESULTS

Jacqueline A. Salcines

Jacqueline A. Salcines

JACQUELINE A. SALCINES, ESQ.
706 S. DIXIE HIGHWAY
SECOND FLOOR
CORAL GABLES, FL 33146
TEL. 305 669 5280
EMAIL: J.SALCINES@SALCINESLAW.COM
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WHAT IS A DEFICIENCY BALANCE IN FLORIDA

House and lawFlorida was one of the states most hardest hit in the economic downturn.  Property values plummeted and that reduction in value, caused many property owners and borrowers to lose their homes.  That reduction in value is what lenders seek to recuperate whey they pursue deficiency judgments in the foreclosure process.

DEFICIENCY JUDGMENTS AFTER FORECLOSURE

A Foreclosure does not automatically create a deficiency judgment in the state of Florida.  The foreclosing party may obtain a deficiency judgment as part of the foreclosure action, by filing a separate lawsuit for the deficiency after the foreclosure has ended.

As of July 1, 2013, the period of time in which the lender can pursue the deficiency was reduced from five years to one year for residential properties with no more than 4 dwelling units.   The one year time frame starts on the day after the court clerk issues a Certificate of Title to the buyer in the foreclosure auction.

PROMISSORY NOTES AND MORTGAGES

When you take out a loan to purchase property, there are two documents included in the lender package that are signed by the borrower.  The note and the mortgage.  The promissory note is the promise to pay the loan back. The mortgage is just the pledging of the property as collateral in case the borrower defaults on the note.  A default occurs when the borrowers does not pay as agreed pursuant to the terms of the promissory note.

WHO IS AT RISK?

Homeowners who chose to either strategically default and do nothing on their loans, and faced foreclosure, due to the property loss of value, are at risk.  Or borrowers who entered into a short sale transaction and the attorney or realtor who negotiated the short sale, did not obtain a deficiency waiver as part of the approval terms.    The short sale approval must expressly state that the lender is waiving the deficiency, or right to go after the borrower post closing.  Do not confuse this with language “the lender will release the lien”.  A release of lien does not guarantee a deficiency waiver but rather complies with the title requirements to remove the mortgage from the title.  But a release of lien does not let the borrower off the hook.  Without the proper language, the borrower may be at risk.

FOR MORE HELP

At the Law Offices of Jacqueline Salcines, P.A., we represent homeowners struggling to pay their mortgages. Whether you have stopped making mortgage payments or are about to, and want to strategically default, we are here to help.  We have a great deal of success negotiating settlements for property owners that wish to keep their home or in the alternative, live in the home for as long as possible until a short sale or deed in lieu is negotiated.  Both negotiations, once done properly, should result in the lender waiving the deficiency balance and offering the seller a forgiveness of a portion of their loan.  On short sales, the seller may even walk away with $10,000 if processed as a HAFA short sale under the Making Home Affordable Program.

If you are a Florida property owner, call and speak to attorney Jacqueline Salcines, Esq. today. As both a real estate/litigation attorney and accountant, she is well versed in handling all matters pertaining to mortgages and balances and has over 15 years experience in the mortgage and real estate field.

No office visit is required and the phone consultation is 100% free of charge.  Call and speak to attorney Jacqueline A. Salcines, Esq. Today!

TRUST |  COMMITMENT  | RESULTS

Jacqueline A. Salcines

Jacqueline A. Salcines

JACQUELINE A. SALCINES, ESQ.
706 S. DIXIE HIGHWAY
SECOND FLOOR
CORAL GABLES, FL 33146
TEL. 305 669 5280
EMAIL: J.SALCINES@SALCINESLAW.COM

 

 

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RENEWAL OF THE MORTGAGE FORGIVENESS DEBT RELIEF ACT

Homeowners who had debt forgiven in 2014, through a loan modification, loan settlement,  short sale, deed in lieu, or credit card cancellation, may qualify under the Mortgage Debt Relief Act OF 2007 for exemption from any federal taxes that might be owed on the forgiven debt.

WHAT ABOUT 2015?

Congress is currently meeting now and expected to further extend the Act as part of a larger tax package in 2015.  In the meantime, mortgage debt forgiven in 2015 may count as taxable income.  However, if the Act is extended, it will most likely work retroactively, as it did in 2014.

WHAT IS THE MORTGAGE FORGIVENESS DEBT RELIEF ACT?

The Mortgage Forgiveness Debt Relief Act allows taxpayers to exclude discharged debt from income.  That is, the debut reduced through either a short sale, a loan modification or other type of debt forgiveness, is exempt from having to pay taxes to the IRS.  The forgiveness applies to debt forgiven in calendar years 2007 through 2014.  Up to $2 million of forgiven debt is eligible for this exclusion ($1 million if married filing separately.)

WHAT IF I AM IN AN UNDERWATER MORTGAGE?

At the Law Offices of Jacqueline Salcines, P.A., we represent homeowners struggling to pay their mortgages. Whether you have stopped making mortgage payments or are about to, and want to strategically default, we are here to help.  We have a great deal of success negotiating settlements for property owners that wish to keep their home or in the alternative, live in the home for as long as possible until a short sale or deed in lieu is negotiated.  Both negotiations, once done properly, should result in the lender waiving the deficiency balance and offering the seller a forgiveness of a portion of their loan.  On short sales, the seller may even walk away with $10,000 if processed as a HAFA short sale under the Making Home Affordable Program.

If you are a Florida property owner, call and speak to attorney Jacqueline Salcines, Esq. today. As both a real estate/litigation attorney and accountant, she is well versed in handling all matters pertaining to mortgages and balances and has over 15 years experience in the mortgage and real estate field.

No office visit is required and the phone consultation is 100% free of charge.  Call and speak to attorney Jacqueline A. Salcines, Esq. Today!

TRUST |  COMMITMENT  | RESULTS

Jacqueline A. Salcines

Jacqueline A. Salcines

JACQUELINE A. SALCINES, ESQ.
706 S. DIXIE HIGHWAY
SECOND FLOOR
CORAL GABLES, FL 33146
TEL. 305 669 5280
EMAIL: J.SALCINES@SALCINESLAW.COM

 

 

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