Foreclosure Article


The Mortgage Forgiveness Debt Relief Act

The Mortgage Forgiveness Debt Relief Act generally allows taxpayers to exclude income from the discharge of debt on their principal residence. Debt reduced through mortgage restructuring, as well as mortgage debt forgiven in connection with a foreclosure, qualifies for the relief.  Restrictions and rules apply to the act. For example the debt forgiven must have taken place between 2007 through 2014. 

For more information about the Mortgage Forgiveness Debt Relief Act please visit the website of the Internal Revenue Service.


Comments:

QUESTIONS

  • I filed for ch. 7 bankruptcy and my debts were discharged on June 2011. To this date I'm badly behind on my house payments, and my lender offers me a reduced monthly payment of $350. The problem is that my lender does not want to make any promises in writing and does not give me straight answers on what happens if I keep my end of the deal. I'm affraid my lender will simply foreclose when it may fit its interest, disregard of my needs. Also, it is wise to enter into any deals post bankruptcy if my debts are discharded already and thus, uncollectable? Thanks!
  • A mortgage company defrauded us, sold us on a refi from a 3.5% ARM to an 8% fixed before the industry crashed. Turns out the switched papers at the title company and put us back in an ARM with a pre-payment penalty. After Az Att Gen office sent a letter to them, did they finally modify our loan. 2 yrs later, I want to refi in to todays rates after no late payments and I am told since modified, never can refinance??? Also Att Gen office asked me to fill paperwork out for the settlement they reached with a Bank, I did, have heard nothing and the Bank says they will do nothing!
  • I would like to know where and how to apply for an intake. I have a CIC # and have contacted the Attorney Genrals office. I filled out and submitted my situationon line on this website in early May,my husband and I have not heard back from it. Can you pleae advise ? Thank you.
  • i have purchased a home about to be auctioned off I paid off mortgage and the owner signed over the house on a quit claim I am having trouble getting her to remove her stuff from property how long do I need to give her and what is the process I need to follow
  • The house I am renting is about to go into foreclosure. My landlord wants to remove the storage shed, window wrought iron around the home as well as the sun lights. Is this legal? What are my rights?
  • Can I file for bankruptcy?
  • My house was foreclosed on in 2008; the 2nd Mortgage was not used to purchase the home, and the 2nd Mortgagee has now sold the "note" to a collection agency. If the 2nd Mortgagee never filed or sued me on the deficiency can the collection agency pursue the collection of this debt? Who is the holder of the written contract that I had with the original lender?
  • I have a balloon payment due this November. And I believe my house isn't even worth what I owe at this point. Is someone willing to lend in these cases? Should I be shopping for a fefinance this early? I know we are negative, but we love our house and know it will rebound one day, just need to get through this hard time. Any idea's? Thanks, Tomm
  • I have a 3plex in AZ that is about to go into foreclosure. I was told by an Attorney that if the lender does not come after us with in 90 days of the foreclosure date by law they cannot come after us in other words sue us. Is this true?
  • I own 2 properties, if I let one go into foreclosure and reside in the other property can the bank readjust my mortgage that is not in foreclosure?

STORIES

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FIND LEGAL HELP

  • Please select your county of residence below.

    County:
     

OTHER LEGAL RESOURCES

  • State Bar of Arizona
    www.azbar.org
  • Maricopa County Bar
    www.maricopabar.org
    Referral number 602-257-4434
  • Pima County Bar
    www.pimacountybar.org
    Referral number 520-623-4625
  • National Domestic Violence Hotline
    800-799-7233
  • Bankruptcy Court Self Help Center
    866-553-0893
  • Certified Legal Document Preparer Program
    Link

ORGANIZATIONS

Documents

Horne Issues National Mortgage Settlement Consumer Alert to Arizonans ReadSpeaker

.pdf  AzMortgageResource.gov ReadSpeaker

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Avoiding Foreclosure of Your Home

Predatory Lending Schemes and Scams

Information for Homeowners Facing Loss of a Home

County Tax Assessors

Where to Find an Attorney for Specific Legal Advice

Loan Modification Frequently Asked Questions

The Mortgage Forgiveness Debt Relief Act and Debt Cancellation

Horne Issues National Mortgage Settlement Consumer Alert to Arizonans

WHAT IF I RENT A HOUSE THAT'S IN FORECLOSURE - The Protecting Tenants at Foreclosure Act

FORECLOSURE DEFICIENCIES IN ARIZONA: Will I still owe money after a foreclosure?

Where can I find legal help with a foreclosure?

Will bankruptcy save my home from foreclosure?

Did you know the Arizona Attorney General’s Office has a wide range of statewide assistance programs funded through the national mortgage settlement that could benefit you or people you know?

Mortgage Reaffirmation Requirements Bogus

Renting a Foreclosure

Recovering Excess Proceeds After Foreclosure of Your Home

Veterans Facing Foreclosure

LINKS

Arizona Housing Information

HUD in Arizona

Federal Consumer Action Handbook Online

Pima County Courts Self Service Center

Arizona 2-1-1

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