The Mortgage Forgiveness Debt Relief Act of 2007 was passed so that people who got loan modifications wouldn't have to pay taxes on any principal that is forgiven or reduced. Unfortunately the Act expired on 12/31/13 meaning homeowners will now face these exorbitant taxes!
Why is this important?
Without the Mortgage Forgiveness Debt Relief Act borrowers cannot get their loans modified. This will lead to increases in defaults and foreclosures at a time when the housing market is still recovering. Please help our neighbors, friends, and communities by urging your congressional representative to get this law extended!
