Congress could pass a mortgage tax relief bill this week that encourages loan modifications and ensures that homeowners are not penalized when a lender reduces the principal amount of their mortgage.The bill, passed by the Senate Dec. 14, eliminates tax penalties for three years on mortgage debt forgiven in a loan mortification or foreclosure. Currently, any reduction in mortgage debt by a lender is treated as income for tax purposes. "Homeowners who are already in trouble on the mortgage certainly can't afford a big hit from the tax man, too," said Sen. Max Baucus, D-Mont., chairman of the Senate Finance Committee. The House passed a permanent exception back in October. But the House is expected to vote on and pass the Senate version so it can be sent to the president for his signature quickly. House Ways and Means Committee spokesman Matthew Beck said it is important to provide this relief to troubled homeowners as soon as possible. "I believe the House will accept the Senate version," he said. The Senate bill also includes a three-year extension of a tax deduction for mortgage insurance premiums. The House bill called for a seven-year extension.
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The Consumer Financial Protection Bureau has seen excessive property-inspection charges, fees that loan mods should eliminate and improper line-item labels.
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Michael Tannenbaum, whose experience in the financial services industry spans over 15 years, has a track record of helping companies scale and grow.
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A majority of consumers earning more than $100,000 annually said they were concerned about their own ability to purchase a home, demonstrating how affordability issues are impacting those at many socioeconomic levels, the University of Michigan study found.
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The nonbank's results add to other indications that the first quarter's "higher for longer" rate scenario had an upside for efficient servicing operations.
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The latest rate increases contributed to a 1% drop in purchases from the previous week and 15% annually, according to the Mortgage Bankers Association.
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The top five producers had an average dollar volume of VA and USDA loans of more than $35 million in 2023.
April 24