Leaving Thousands of Dollars on the Table?
Even the most saavy buyer and seller in New York City may not realize a hidden saving that can cost them thousands in unnecessary recording taxes. And better brokers are versed in this loophole and will alert clients of the potential. Here is how it works. In New York City, there is a tax when …READ MORE
Not Realizing You Bought a Mansion – Congratulations!
Do you remember when buying a house for a million dollars really meant you were buying a mansion? Probably not. But there was a time when the “mansion tax” really meant what it was called. Now it’s just a cruel joke repeated at the closing table when buyers write out checks for 1% of the …READ MORE
The IRS Limits the Interest Deduction on Non-Married Couples
With tax season upon us, a recent IRS ruling has important impact on a subject that will be of interest to many taxpayers who co-own property with a person who is not their spouse. First, let’s review the basic rules on home mortgage interest deduction. Taxpayers who itemize deductions on Schedule A can include interest …READ MORE
Behind on a Mortgage? Your Lender Might Want to Pay You!
The big banks have come to the conclusion that more foreclosures will not help the sluggishly recovering housing market. It’s about time. A good alternative to foreclosure or bankruptcy for underwater homeowners – those who owe more on their mortgage than their home is worth – is a short sale. In the beginning of the …READ MORE
Financing Contingencies: Navigating The Minefield of Real Estate Transactions
Among the biggest changes we have seen in our market post-Lehman is the return of the financing contingency. Prior to Lehman and the seizing up of the mortgage credit markets, it was quite typical for buyers to “waive” a contingency and accept the risk of financing. With contract deposits typically 10% of purchase price, this …READ MORE
Exchange Basics: The Rules for Identifying Replacement Properties
A 1031 exchange is a great way for investor’s to develop significant wealth by deferring capital gains tax on the sale of assets that are replaced with like-kind properties. But this generous benefit of the Internal Revenue Code comes with a caveat: the rules for the safe harbor created must be followed exactly, and errors …READ MORE
Becoming More Than Just a Real Estate Salesperson
Today’s brokerage clients demand more of their real estate professional than before, and successful agents and brokers recognize this. I deal with many real estate professionals across the spectrum of success, and have noticed that the more talented brokers are the ones who make themselves the single resource that clients trust in connection with all …READ MORE
An Expert’s Guide to Succeeding in Your Short Sale
The decision to sell short is an important one. But for underwater homeowners in financial distress, it can sometimes be the best option. In a short sale, the seller remains in control of the transaction, and no legal proceedings are necessary. Unlike a foreclosure or bankruptcy, which are court proceedings and become a matter of …READ MORE
Seven Rules for Successful Deals in 2012
2011 was a tricky year, and closing deals this year required a much different mind and skill set than in the past. I think 2012 will be even more robust, and with consumer confidence posting record increases, we’re poised for a banner year. As we start the year, I want to share some trends that …READ MORE
A Sales Tax on Real Estate Sales? Yes, Well Sort of…
The internet can be great for providing information on any number of subjects. And real estate is among the most popular, with “experts” weighing in on any issues raised by (confused) consumers. Recently, there has been a flurry of activity offering “guidance” on the new 3.8% sales tax on real estate. Much of the “analysis” …READ MORE