I was divorced and signed over the deed of our house to my ex wife September 2005. I rented until February 2009 and closed on a 8,000 home. We agreed in the divorce that I would be responsible for a home equity loan I took out to start a business. Since I was renting and paid child support , it took me 4 years to pay that loan off. I did NOT, however, own a home during that entire period. And, as stated, the deed was signed over. I did however claim an interest deduction from the 1098 forms I received every year during the time it took me to pay off the home equity loan. My question is do I qualify for the 00 First time buyers credit. I, like many others, am being reviewed this year. I did claim the credit and I know I qualify for the 3 years without buying clause. I’m just wondering what the IRS is going to think when they see Home Mortgage deductions from the 1098 I received until the loan was paid. Help, please
To: I love Idol.
Thank you for the very thought out response. All those people screaming tax fraud. Give me a break. I received 1068forms. I THOUGHT I was supposed to itemize the interest. In fact H & R block did my taxes that year and added it to my deduction.
To answer your question, the mortgage company took me off the mortgage legally 4 years ago. But I still felt responsible for the home equity loan so I agreed to pay that as well. I just didn’t know you couldn’t claim an interest deduction if you were not on the mortgage. That seemed to be the general concensus. I’m calling my new CPA tomorrow. Any other ideas? If you have something productive to say, this goes out to everyone.
Posts Tagged ‘property taxes’
Lost My house in a divorce. Was responsible for home equity loan used to start my business. Home Buyers Credit?
Tuesday, May 4th, 2010Does anyone know what to expect in Bankruptcy Ch 13 in the state of California ? I'm scared need advise"?
Monday, April 12th, 2010my property has too much Equity, my attorney filed a Bankruptcy Chapter 7, & later on after filing for ch 7 our attorney realized that our equity is high so then he asked me & my husband 2 convert 2 Bankruptcy CH 13, this alarmed us, We are so comfused & scared more than ever, We are current with our primary Mortgage & 1st & 2nd Loan with our Bank that is tied up with our property, our balance is $ 129,000.00 & our Appraisal is for 5,000.00 & we are current with our Property Taxes/Homeowners Insurance. & we are current with our car payment & auto insurance. Our reason 2 File for Bankruptcy in the 1st place was because of personal credit card debts, we were told from our attorney that we do qualify for CH 7, Now our attorney tells us we do not qualify for ch 7 so we have to convert to CH 13, but he says our home is not secured with the 0,000.00 Home Exemption. our children are all Adults, even though they live with us, & we support them financially the court does not reconize my college children as our dependents under the law and because 2 of them file for thier own tax-return for years now so I only have one adult dependent age 18 who is still a full-time student in High School. another thing the lawyer said 2 us when after we signed the forms for ch 13, last week friday. that we qualify for a 100% Pay Back Plan. not reduced like they do for Consolidation, & not even once did the lawyer mention anything about consolidation so I am really comfused, I even asked an attorney at the Pro-Bono work shop @the Santa Ana Bankruptcy Court House 2 weeks ago & I asked if its safe to convert my case to a ch 13 to keep my property & personal property safe they said yes, & that I would have to pay what I could only afford a month from my husbands income for a 5 year plan"so I thought ok, this is good" But, when I saw my lawyer last week 2 sign 4 the convertion to a CH 13, she said my minimum payment would be around ,000.00 a month 2 pay back my creditors & that’s the lowest payment the court would offer according to our attorney 2 start with & it will go higher in a couple of months "We can’t afford this" what should we do? this attorney is confusing us, my English is fluent but, the legal terminology is very confusing" if you have been through something like this before (or) if you know someone that had gone thru this in CA we would really appreciate any feedback you may offer, I tried 2 call my attorney again & she does not return calls I am scared for me & my family. Thanks 4 listening hope 2 hear from someone that would have knowledge to give us feedback that is true no matter how bad it ism we want to know what to expect & what we should do.
Mary:
Orange County, CA, USA
Buy Now – Sell Later Which to Mortgage?
Friday, December 18th, 2009I want to sell my current home & purchase a condo. I am a retired senior with a fully paid-up home. The condo is in construction to be finished in a couple of months.
If I list my current home, it may not sell in time to simply pay for the condo. Therefore I have been to see lenders. They all recommend against a bridge loan due to unavailability and also due to high costs. They also recommend against a Home Equity loan. The one I think would be the best is this scenario but I am asking for your guidance on which one is the better way to do this for any and all reasons.
Re-finance my current home and take a 0k loan at less than 5%. This loan would have no prepayment penalty. I would make a k down payment on the condo Then sell my home and pay off the refinance loan on the home & owning the condo free & clear.
The other alternative, is to take a mortgage on the new condo & pay it off when the house sells but that mortgage cannot be done until it is completed. Again, there would be no prepayment penalty. Also the seller will not do a contingency.
If I would take the loan on my current home I would not have a problem making the mortgage payments because they would be low enough for me to afford to do this for a few months while the house is listed. But I’m not sure if it makes things more complicated to sell a home with a mortgage on it or not?
I would like to keep the home & rent to my son for property taxes only but it would be less rent than FMV & I think the IRS calls it my second home & the tax benefit is lost. What a shame not to be able to help out.
Thank you,
Why was our Home Equity Loan denied after already having one for 2 years?
Saturday, December 5th, 2009My husband and I just applied for a home equity loan and were denied. We already have one which we applied for 2 years ago for ,000 which we have paid off ,000 (always on time!). We just applied again – for a ,000 line of credit – to pay off our credit card debt and the rest of the other home equity loan (which is at 6.24%). The new loan would be a variable rate of 3.5% where we would actually be paying less than we are now per month (but we would pay off more due to we are paying much more just to pay off the minimum amount on our cc’s). The issue is that we have a loan or mortgage for the house with my mom and dad (it’s actually just in my mom’s name). We have a legal contract written up but we have had some really tough times and we have not had to pay much over the last year or so – just our property taxes to the town (not so little in NJ). We did not list an actual mortgage on the loan application due to it being a private loan. I can’t even remember what we did for the first one and I don’t have a copy. Could this be the reason why we were denied in that it doesn’t show any equity in the house (the house is in our name) and if it is the reason how do we go about showing that we do have equity in the home and how much should we show – my mom will show whatever amount we need that would look realistic? We have lived in the house for 5 years and it’s worth about 0,000. Our credit scores are 749 and 769 so we know that isn’t the problem. Thank you so much and I’m looking forward to hearing your advice.
Sincerely,
Julie
what can I do if I feel that I am a victim of predatory lending?
Sunday, November 29th, 2009I think that my husband and I are victims of predatory lending. Here are the details. We have a balloon loan for one year with 8.1% interest. The house was appraised for ,000 more than our loan. The bank who financed us let us use our vehicles as collateral, one was wrecked, so it has been released, but now they are holding on to my 1997 mini van, unless we pay them ,700 which they claim is the decrease that the market has taken and has reduced our equity in our home. When we went to resign the yearly loan in December, we asked if we could get the interest reduced, they said no. We asked if we could refinance, they said they do not do refinancing and directed us to their main office who would contact Countrywide for us. Last night we received a letter that said since we didn’t pay our property taxes in October, they had paid it and now that has raised our house payment. We have been having some financial trouble and were planning on paying the taxes with our income tax return. We are current on our loan but do have two 30 day late dings on the loan.
So, what do we do? Contact a lawyer? How do you negotiate with something like this??
Thanks!
Should I try to hold on to my home or let it go into forclosure?
Saturday, November 14th, 2009We owe 5,000 on our house and it’s now worth about 0,000. We have an ARM that is going to reset in Jan 09. We definitely can’t afford the ,000 jump in payment. Called the mortgage company (Ocwen) and they said we do not qualify for the government’s freeze on interest rates program because our ARM was for 3 years instead of 2, but they said call back closer to the time the loan is set to reset and they’ll work with me. Somehow I doubt it and I don’t want to pay my ,100 property tax bill on the house if I’m just going to lose it in the end. Plus, I’m thinking about all the money we could save every month if we let it go and just rented a house. We’d save about ,000 a month on rent and ,000 a year on property taxes. Why hold on to a house that costs too much and has no equity? Not to mention it’s an interest only loan, so paying it off will NEVER happen. Please give me your advise. Is foreclosure really so bad? My credit score is already low (610)
I need help on this economics essay!!?
Saturday, November 14th, 2009This is what the essay calls for:
research paper explaining the various concepts of mortgages, amortization, principle, interest, accelerated payments, and equity. Include detailed explanationss of the difference between fifteen and thirty year fixed loans, Adjustable Rate Mortgages (ARMs), Private Mortgage Insurance (PMI), home insurance and property taxes.
I have no clue what to write!! I’m all confused. COuld you guys give me some tips on what to write or any websites I should use that’ll help me? I need all the help I could get!!!
before I was on the deed with my dad he took a loan out If he default and the home forclosed am I on that list?
Wednesday, November 11th, 2009well in 2007 my dad took a home equity loan out. In 2008 I was put on the deed to the property. If my dad defaulted on the loan or property taxes and the house goes on a forclosure list am I going to have that on my credit. I live in philadelphia, pa
HFC Home Loan Help!!!!?
Tuesday, October 20th, 2009I can’t afford my house payments! I used to only have a 1,500.00 payment on my house and then my business took a hit in 2006 and I had to get some equity out of my house so I did a new loan with hfc. With my and my wife our income was 4500.00 a month and they made our payments 4,000.00 a month. I was VERY stupid but I needed the money badly! Now I got some place with them because they lowered my payments to 3500.00 temp. My wife just lost her job and got a new one making only 1500.00 every two weeks. Now my business has closed and I am on uneployment. I don’t know what to do now. I don’t have 3500.00 a month i have 4 kids still living at home and I cant afford it. Now hfc is moving to india and I dont know what to do. ANY HELP!!! Contacting them gets you no were. They say one thing but never do it! Any tips. Im thinking about calling hope tomarrow but i dont know what they can do if they are moving. My house does not even include property taxes,insurance. Property taxes are 4,200 a year and insurance is 150.00 a month. now here is the bad part. My business has ruined my credit sooooo bad were i cant even get a credit card. IT"S LOWWWWWW AS YOU CAN GO. I was 3 months behind on my payments for the house but they added it to the back of the loan (THAT WAS SOME HELP) but with our income we cant afford 3900 in a house payment. I NEED HELP and ADVICE.
Related ‘property taxes’ sites :
| Property tax - Wikipedia, the free encyclopedia Property tax, or millage tax, is an ad valorem tax that an owner is required to pay on ... Forms of property tax used vary between countries and jurisdictions. ... en.wikipedia.org/wiki/ | |
| property tax: Definition from Answers.com property tax n. A tax levied against the owner of real or personal property. www.answers.com/topic/ | |
| County of San Diego Treasurer - Tax Collector Dan McAllister, County of San Diego Treasurer-Tax Collector ... September - Treasurer-Tax Collector mails out original secured property tax bills ... www.sdcounty.ca.gov/ttc/ | |
| Los Angeles County Property Tax Website - Home Page Remember the last day to pay Annual Unsecured Property Tax Bills without penalties is August 31st. ... Property Tax Relief for Owners of Storm Damaged Properties ... lacountypropertytax.com | |
| Property Tax This article is a part of Wikinvest's Personal Finance section and Guide to Investing. Please contribute or edit to improve it. Property Tax is... www.wikinvest.com/wiki/ | |
| Property Tax Assistance Property Tax Binding Arbitration for Property Owners. New Homestead Exemption for Disabled ... Overview of the Property Tax Assistance Division. 2010 Truth-in ... www.window.state.tx.us/ | |
| Miami-Dade County - Tax Collector - Paying Your Real Estate Taxes Real Estate Taxes are collected on an annual basis by the Tax Collector's Office. ... Real Estate Property Tax. Tax notices are mailed on or before November 1 of each year with ... miamidade.gov/... | |
| :: Cook County Treasurer's Office - Chicago, Illinois :: Use the search field below to search property tax information. ... Tax amounts which should be adjusted lower because of Illinois Property Tax ... www.cookcountytreasurer.com/ | |
| Property tax - New World Encyclopedia Property tax, or millage tax, is an ad valorem tax that an owner pays ... Property tax is distinguished from land value tax, or the "single tax" proposed by Henry ... www.newworldencyclopedia.org/ | |
| Property tax - Ballotpedia Property tax or millage tax is an ad valorem tax that an owner of real estate or other property pays on the value of the property being taxed. ... ballotpedia.org/wiki/ | |