Posts Tagged ‘max baucus’

Letting the Act Expire Could Cost Underwater Borrowers

December 24th, 2012 Comments off

While Republicans and Democrats continue squabbling over the impending fiscal cliff, the Mortgage Forgiveness Debt Relief Act of 2007 is due to expire at the end of the year, which would cause homeowners to begin paying taxes on the part of their mortgage that is forgiven in a short sale, foreclosure or principal reduction. As an example, CNNMoney points out if a borrower owes $150,000 on a house and sells it for $100,000 at a foreclosure auction, they might owe taxes on the $50,000 that is forgiven. With over 50,000 borrowers losing their homes to foreclosure monthly, and short sales amounting to half a million each year, the dollars add up quickly. If a person is in bankruptcy or insolvent, the amount would be forgiven. Senate Finance Committee Chairman Max Baucus estimates the extension would cost the government $1.3 billion for one year. As MHProNews has learned, while some industry officials say it goes against loss mitigation efforts, some in Congress might see its expiration as a cost-cutting measure to trim the deficit.

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Energy Efficient Tax Credits for MH/MOD Defeated

March 15th, 2012 Comments off

From Washington, D.C. the Manufactured Housing Institute (MHI) tells the Stabenow amendment to the Senate’s surface transportation reauthorization legislation (S.1813), which would have extended the energy efficient tax credits for MH and Mod, did not get the required 60 votes needed for passage. Sen. Jim DeMint (R-SC) led the opposition to a 49-49 deadlock. MHI says proponents will regroup and begin working with legislators including Sen. Olympia Snowe (R-ME), Sen Max Baucus (D-MT), and Majority Leader Sen. Harry Reid (D-NV) to renew the six credits. Under the New Energy Efficient Home Credit, manufacturers of ENERGY STAR homes received $1,000 and modular home builders received $2,000, but that expired Dec. 31, 2011. MHI strongly suggests contacting your representative in Congress to support the extension.

(Photo credit: Wikipedia–U.S. Capitol)