[HLS]

MONT,
I’m in the mortgage biz and often get questions like yours.

It depends on your overall situation and the rate/loan that you have now. Depends what you can qualify for.
It’s really not a situation to struggle over.

The rental market is what it is, regardless of what you owe or what the house is worth.

If you get a fully amortized loan, you will be paying principal.
If you compare an interest only loan, your cash flow will be better.

If you want an analysis of what you can actually qualify for from someone that can help you, just let me know.

You are going to get plenty of opinions here from people who don’t really understand your overall situation, but think that they do.

The longer you wait, the lower the value of the house will probably be, and from what you are asking, you will still have your other debt that may be at a higher rate and is not tax deductible.
If you wait until it’s not your primary residence to refi, your rate will be higher.

If you are trying to pick the exact bottom of rates, that isn’t realistic.

[HLS]

MONT,
I’m in the mortgage biz and often get questions like yours.

It depends on your overall situation and the rate/loan that you have now. Depends what you can qualify for.
It’s really not a situation to struggle over.

The rental market is what it is, regardless of what you owe or what the house is worth.

If you get a fully amortized loan, you will be paying principal.
If you compare an interest only loan, your cash flow will be better.

If you want an analysis of what you can actually qualify for from someone that can help you, just let me know.

You are going to get plenty of opinions here from people who don’t really understand your overall situation, but think that they do.

The longer you wait, the lower the value of the house will probably be, and from what you are asking, you will still have your other debt that may be at a higher rate and is not tax deductible.
If you wait until it’s not your primary residence to refi, your rate will be higher.

If you are trying to pick the exact bottom of rates, that isn’t realistic.

[HLS]

It seems TOO EASY,, what’s the catch ??

It’s like when Disneyland went from ticket books (If you’re under 50, they used to have A-E tickets for rides) to unlimited rides…. YEE HAA,,, get in line.

[HLS]

It seems TOO EASY,, what’s the catch ??

It’s like when Disneyland went from ticket books (If you’re under 50, they used to have A-E tickets for rides) to unlimited rides…. YEE HAA,,, get in line.

[HLS]

It seems TOO EASY,, what’s the catch ??

It’s like when Disneyland went from ticket books (If you’re under 50, they used to have A-E tickets for rides) to unlimited rides…. YEE HAA,,, get in line.

[HLS]

It seems TOO EASY,, what’s the catch ??

It’s like when Disneyland went from ticket books (If you’re under 50, they used to have A-E tickets for rides) to unlimited rides…. YEE HAA,,, get in line.

[HLS]

It seems TOO EASY,, what’s the catch ??

It’s like when Disneyland went from ticket books (If you’re under 50, they used to have A-E tickets for rides) to unlimited rides…. YEE HAA,,, get in line.

[HLS]

On the surface this isn’t that complicated.

Renegotiating a lower loan/rate does NOT constitute cancelation of debt…(COD)
Having a foreclosure (or short sale) does.

Now there appears to be NO REASON to want to deal with a short sale, just stay in the property as long as you can without paying, and get foreclosed on.

Your credit gets whacked, but you no longer have any income tax liability from a 1099-C for COD if you have recourse debt.

Cannot believe that this is that simple, and they didn’t understand it would be a FREE PASS from recourse debt.

If it IS actually that simple, how long will it be until it gets repealed/overturned ??

Assuming that it is a free pass, and will take 6-7 months minimum to go to trustee sale, I can see NOD’s skyrocketing beyond imagination by April-May, and foreclosure sales in August being the highest in history by a huge multiple….
BUT what if they change this program in the 1st or 2nd Q 2008 when they realize what has happened ??

Can you believe that they didn’t know this would encourage FC’s ?
*********************
Private Mortgage Insurance WAS tax deductible for the first time ever in 2007, with income limitations, but ONLY for 2007….
The deduction was just extended for 3 more years.

[HLS]

On the surface this isn’t that complicated.

Renegotiating a lower loan/rate does NOT constitute cancelation of debt…(COD)
Having a foreclosure (or short sale) does.

Now there appears to be NO REASON to want to deal with a short sale, just stay in the property as long as you can without paying, and get foreclosed on.

Your credit gets whacked, but you no longer have any income tax liability from a 1099-C for COD if you have recourse debt.

Cannot believe that this is that simple, and they didn’t understand it would be a FREE PASS from recourse debt.

If it IS actually that simple, how long will it be until it gets repealed/overturned ??

Assuming that it is a free pass, and will take 6-7 months minimum to go to trustee sale, I can see NOD’s skyrocketing beyond imagination by April-May, and foreclosure sales in August being the highest in history by a huge multiple….
BUT what if they change this program in the 1st or 2nd Q 2008 when they realize what has happened ??

Can you believe that they didn’t know this would encourage FC’s ?
*********************
Private Mortgage Insurance WAS tax deductible for the first time ever in 2007, with income limitations, but ONLY for 2007….
The deduction was just extended for 3 more years.

[HLS]

On the surface this isn’t that complicated.

Renegotiating a lower loan/rate does NOT constitute cancelation of debt…(COD)
Having a foreclosure (or short sale) does.

Now there appears to be NO REASON to want to deal with a short sale, just stay in the property as long as you can without paying, and get foreclosed on.

Your credit gets whacked, but you no longer have any income tax liability from a 1099-C for COD if you have recourse debt.

Cannot believe that this is that simple, and they didn’t understand it would be a FREE PASS from recourse debt.

If it IS actually that simple, how long will it be until it gets repealed/overturned ??

Assuming that it is a free pass, and will take 6-7 months minimum to go to trustee sale, I can see NOD’s skyrocketing beyond imagination by April-May, and foreclosure sales in August being the highest in history by a huge multiple….
BUT what if they change this program in the 1st or 2nd Q 2008 when they realize what has happened ??

Can you believe that they didn’t know this would encourage FC’s ?
*********************
Private Mortgage Insurance WAS tax deductible for the first time ever in 2007, with income limitations, but ONLY for 2007….
The deduction was just extended for 3 more years.

[HLS]

On the surface this isn’t that complicated.

Renegotiating a lower loan/rate does NOT constitute cancelation of debt…(COD)
Having a foreclosure (or short sale) does.

Now there appears to be NO REASON to want to deal with a short sale, just stay in the property as long as you can without paying, and get foreclosed on.

Your credit gets whacked, but you no longer have any income tax liability from a 1099-C for COD if you have recourse debt.

Cannot believe that this is that simple, and they didn’t understand it would be a FREE PASS from recourse debt.

If it IS actually that simple, how long will it be until it gets repealed/overturned ??

Assuming that it is a free pass, and will take 6-7 months minimum to go to trustee sale, I can see NOD’s skyrocketing beyond imagination by April-May, and foreclosure sales in August being the highest in history by a huge multiple….
BUT what if they change this program in the 1st or 2nd Q 2008 when they realize what has happened ??

Can you believe that they didn’t know this would encourage FC’s ?
*********************
Private Mortgage Insurance WAS tax deductible for the first time ever in 2007, with income limitations, but ONLY for 2007….
The deduction was just extended for 3 more years.

[HLS]

On the surface this isn’t that complicated.

Renegotiating a lower loan/rate does NOT constitute cancelation of debt…(COD)
Having a foreclosure (or short sale) does.

Now there appears to be NO REASON to want to deal with a short sale, just stay in the property as long as you can without paying, and get foreclosed on.

Your credit gets whacked, but you no longer have any income tax liability from a 1099-C for COD if you have recourse debt.

Cannot believe that this is that simple, and they didn’t understand it would be a FREE PASS from recourse debt.

If it IS actually that simple, how long will it be until it gets repealed/overturned ??

Assuming that it is a free pass, and will take 6-7 months minimum to go to trustee sale, I can see NOD’s skyrocketing beyond imagination by April-May, and foreclosure sales in August being the highest in history by a huge multiple….
BUT what if they change this program in the 1st or 2nd Q 2008 when they realize what has happened ??

Can you believe that they didn’t know this would encourage FC’s ?
*********************
Private Mortgage Insurance WAS tax deductible for the first time ever in 2007, with income limitations, but ONLY for 2007….
The deduction was just extended for 3 more years.

[HLS]

Signed by president on 12-20-2007

http://www.govtrack.us/congress/bill.xpd?bill=h110-3648

[HLS]

Signed by president on 12-20-2007

http://www.govtrack.us/congress/bill.xpd?bill=h110-3648

[HLS]

Signed by president on 12-20-2007

http://www.govtrack.us/congress/bill.xpd?bill=h110-3648

[Author]

Posts