Tax Amnesty Anyone? IRS Webinar Today 12/11/13

Esteemed New York tax attorney Lewis Taishoff reports today that the IRS has increased the user fees for installment agreements and OICs.

Effective 1/1/14, an installment agreement will cost $120 (up from $105) and $50 (up from $45) to reinstate or restructure an existing agreement. The fees for a direct debit agreement ($52) and for low-income taxpayers ($43) won't change. An OIC will set you back $186 (up from $150). Still, low-income taxpayers and taxpayers making an offer based solely (and that means solely) on doubt as to liability get a free ride.

And it just so happens IRS is running a collection alternatives webinar today, 12/11/13.   For further information register at http://www.visualwebcaster.com/event.asp?id=96566

NEW SHORT SALE GUIDELINES ANNOUNCED

This month - August 2012 - Fannie Mae and Freddie Mac launched new short-sale guidelines for servicers to streamline the process of moving distressed borrowers through a short sale. The guidelines take effect Nov. 1.  The changes only affect underwater mortgages guaranteed by Fannie and Freddie, which back the majority of U.S. home loans.

Homeowners will not have to be in default for a short-sale to be considered.  Borrowers dealing with the loss of a co-borrower, divorce, legal separation, illness, disability or a distant employment transfer will have the option of getting a short sale approved by the servicer before they actually default on a payment. 

IMPORTANTLY -- Housingwire.com reported August 21, 2012, that the FHFA's new guidelines would waive deficiencies for borrowers who complete a short sale BUT with a string attached:

"Fannie Mae and Freddie Mac will waive the right to pursue deficiency judgments in exchange for a financial contribution when a borrower has sufficient income or assets to make cash contributions or sign promissory notes: Servicers will evaluate borrowers for additional capacity to cover the shortfall between the outstanding loan balance and the property sales price as part of approving the short sale." (emphasis added) You can read the Press Release directly.

In June of this year, Fannie Mae, set out formal timelines for short sales, saying that mortgage lenders would have to respond to a short-sale offer within 30 days of receiving it.

Fannie in the new guidelines is cutting down the amount of documentation required to complete a short sale under hardship circumstances and eliminating certain documentation requirements for borrowers who are 90 days or more delinquent or have a credit score below 620.

One part of the plan is for Fannie and Freddie to offer up to $6,000 to the holders of second mortgages to expedite the sale.  The Wall Street Journal this morning reported erroneously on this fact.

The new guidelines also gives servicers the authority to approve and complete short sales that conform to the new standards without individual approval from Fannie Mae and Freddie Mac.

The WSJ additionally reported that short-sales have been growing as a percentage of home sales. They made up 8.8% of home sales in May, up from 7.6% a year earlier and 6.5% in 2010, according to CoreLogic Inc.

Fannie Mae hid benefits of reducing mortgages, lawmakers say

Please read the details of this as reported by The Washington Post.  Working in the trenches, I know first hand how devastating it has been to homeowners that Fannie Mae has blocked the ability of banks to offer loan principal reductions.  Citibank apparently offered to do so back in 2009.  Why this program was canceled?  The documents submitted offer no answer.

Why are people not storming the "Citadel" - storming DeFranco's office?


"....Since being appointed head of the Federal Housing Finance Agency (FHFA) in 2009, DeMarco has refused to allow Fannie and Freddie to write down loan balances, in part because he worries that some homeowners would stop paying their mortgages to get relief, ultimately costing taxpayers more money. He has been steadfast in his disapproval in recent months despite growing pressure from Obama administration officials and House Democrats to allow principal reductions....."

Fannie Mae hid benefits of reducing mortgages, lawmakers sayFannie Mae concluded years ago that it could substantially reduce losses by cutting the principal of some loans to borrowers in financial trouble, but it kept the finding secret, said Rep. Elijah Cummings, D-Md., the senior Democrat on the House committee that oversees the agency. Cummings and Rep. John Tierney, D-Mass., said in a letter that they learned of the finding from documents provided by a former Fannie Mae employee. The Washington Post(5/1), MSNBC/Economy Watch blog (5/1)

The New Google

I recognize that it's not easy keeping up with the myriad of changes going on with Google - making it exceedingly difficult to keep email accounts active, domains working, no less your blog up to date....in other words, I have been challenged. 

I am just grateful that I was able to sell off my Google stock during the most recent stock market rally.  What is going on with these folks?   Have you ever attempted customer service or the lack thereof?

Meanwhile I digress on a real estate blog....merely venting....

Hurricane Irene - Resources New Jersey / New York

New Jersey
New Jersey Office of Emergency Management
(609) 538-6050 Monday-Friday
(609) 584-5000
www.ready.nj.gov

• New Jersey Office of Emergency Management on Facebook

New Jersey Department of Banking & Insurance

• New Jersey Department of Banking & Insurance - Notice Regarding Flood Damage
• New Jersey Department of Banking & Insurance - Rules, Orders, Bulletins, and Notices

New York
New York State Emergency Management Office
(518) 292-2275
www.semo.state.ny.us/

• New York State Emergency Management Office - Laws and Regulations

New York State Insurance Department

• New York State Insurance Department Homeowners Insurance Resource Center -What To Do After a Loss
• New York State Insurance Department Homeowners Insurance Disclosure Information and Other Notices - Regulation 159 (pdf)
• New York State Insurance Department - Windstorm Deductibles (pdf)
• New York State Insurance Department - Laws & Regulations

Other Resources
American Red Cross
Disaster Planning for Pets

Google Domains and G-Mail Accounts - A Cranky Posting

I recognize it has been quite a few months since my last posting.  So besides business concerns, what's made for the delay?

Primarily I am still trying to figure out what Google is up to in changing domains over to g-mail accounts.....I know that it's all about money ultimately and I am not happy about it.   It's made getting into this blog a wee bit challenging just to start.

I used to be an advocate for Google domains....then they became GoDaddy domains.  That confused me because I had been using GoDaddy as the host for my Google domains.....that took some phone calls to straighten out with GoDaddy....but then I thought well I have these great email accounts that came with my original domains and they help keep info organized. But that was too good to last for long I have discovered.

Now - merger of email accounts?

Why?  Not interested.   Then I received a note today when I was trying to find my email settings in my law firm's email account - only 30 days of emails would be saved unless I upgrade, at $50/year, to a Google apps program.  HELLO?!  It's only me out here using the email account and I don't have a need for the business apps.

So - when's the last time you have tried contacting Google?

After much searching I found an email for contacting them.....BUT you have to put in your customer code - WHAT?!  Again.  WHAT?!    If you don't have the "code", you can not send an email.   Can they make this more difficult?

AWG  to quote Charlie Brown.

So these are my ravings as I'm stuck here in New Jersey recovering from the hurricane travails....

Beware Loan Mod Scams - FTC Files Complaint Against Firms

On February 2, 2011, in the U.S. Dist. Ct. S.D. of Florida, Miami, an FTC complaint was filed against U.S. Mortgage Funding Inc., Debt Remedy Partners Inc., Lower My Debts.com LLC, and principals John Incandela, Jr., Jamen Lachs, and David Mahler for misleading consumers that they were affiliated with or approved by consumers’ lenders. Consumers were advised not to contact their lenders and to stop making mortgage payments because doing so would demonstrate hardship and the need for a mortgage modification.

The defendants listed had targeted financially distressed consumers by using direct mail, the internet and telemarketing. They would falsely promise loan modifications to make consumers’ mortgages more affordable, even boldly promising to fully refund their money if they failed.

For their “help,” consumers were being charged up to $2,600 for these services, with half of the fee being required upfront. The defendants also claimed a 100% success rate—which should have been the first red flag for consumers. Very few companies or organizations have a 100% success rate for anything, much less something as complicated and as a loan modification.

According to the Mortgage Assistance Relief Services rule recently issued by the FTC, providers of mortgage foreclosure rescue and loan modification services are banned from collecting fees until homeowners receive a written offer from their lender or servicer that they decide is acceptable. Because the defendants’ ads predated the rule, the FTC could not allege any violations of that rule in this particular complaint filing.

New Definition of Service Animal

March 15, 2011 - new legislation takes affect as to the defnition of a service animal under the Department of Justice’s Americans with Disabilities Act (ADA) regulations.


The new regulations now define "service animal" as a dog that has been individually trained to do work or perform tasks for the benefit of an individual with a disability. The rule states that other animals, whether wild or domestic, do not qualify as service animals. Dogs that are not trained to perform tasks that mitigate the effects of a disability, including dogs that are used purely for emotional support, are no longer considered to be service animals. The final rule also clarifies that individuals with mental disabilities who use service animals that are trained to perform a specific task are protected by the ADA. For more information about the new regulatory provisions regarding service animals, please visit the ADA's website.

http://mpetersesq.com/animal.html

PETITION TO PROTECT SEEING EYE DOGS

Most people are unaware of the risk dog guides and their owners encounter each day. There is no way for a person who is blind and depends on a dog guide to know that a dangerous dog who has been chained to a light pole along a sidewalk might attack a dog guide as it passes. Nor to protect a guide dog from dangerous dogs who are unleashed.

Existing laws must be consistently enforced for the fair and safe treatment of people who are blind and their dog guides.

An attack by an unrestrained dog should be a criminal offense, charged to its owner.

You can send an email directly to New York Senator Charles J. Fuschillo Jr. by clicking here to his website page.

Please send an email directly to New York Assembly Member Philip M. Boyle -- You can copy and paste the following and modify as you see appropriate:

      An attack by an unrestrained dog on a guide dog should be a criminal offense - charged to the attacking dog's owner.

     We need this law -- We need to strengthen state legislation to provide greater protection for people and their dog guides against attacks by other dogs.

     PLEASE give your full support to such a legislative initiative.

     Thank you.

New Federal Site Launches - Consumer Financial Protection

I received an email from the City Bar this afternoon announcing the launch of a new web site which is "open" for suggestions as to how you as a consumer can be protected regarding your financial situation.  As I looked into it, they are seeking postings with "humor" -- which I found just down right depressing to read.

The national banks are running roughshod over consumers, and this website funded by our taxes it appears, is looking for humor on the subject.

The press release states: 

In July 2010, Congress created a new federal agency to protect American

consumers. The Consumer Financial Protection Bureau will be a cop on the
beat, working to make consumer financial markets work better for
American families. As the first new consumer agency of the 21st century,
we can communicate directly with the people we serve.

And they are looking for humor....or a "tweet" or a U-Tube Video....as they write, "Most of all, be real

about what matters to you. "   Here is the link for suggestions where you can post as you like...