Tony and Suzanne Marriott's Phoenix Arizona Real Estate Blog

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Under Water in Scottsdale? Time is running out...

It's been over 3 years since the Scottsdale market started to tumble, and while it's not still in free-fall, one can tell from the property tax records amongst other resources that housing prices are still declining.

Those under water in Scottsdale hoping for a miraculous recovery that restores equity and brings them once again above water have, for the most part, grudgingly acknowledged that it's going to take "a while".

In many cases "a while" translates into 15 years or more!

Here's the problem looming on the horizon.

If you lose a property to foreclosure (Trustee Sale) or close escrow on the Short Sale of your property PRIOR to January 1, 2013, the Mortgage Forgiveness Debt Relief Act will still be in effect.

If the property changes hands ON or AFTER that date - you have the privilege of paying income tax on the difference between what your lender(s) receive(s) from the sale, and what you owe your lender(s).

If you owe $250,000 and the lender(s) receive(s) $150,000, you owe income tax on the $100,000 difference - perhaps $30,000?!

If you owe $500,000 and the lender(s) receive(s) $250,000, you owe income tax on the $250,000 difference - perhaps $75,000?!

If you are under water in Scottsdale, you must evaluate your situation NOW.

What is the current market value of your property?

What do you owe on the property?

When will you be at "break even" or better based on your crystal ball?

Do you intend to own your property until "break even"?

Can you afford the payments until "break even"?

If you don't believe you will be able to hold on to your property in Scottsdale for the duration, and it changes hands after the Mortgage Forgiveness Debt Relief Act expires, you will be in a real pickle with Uncle Sam and the IRS.

Only you know what the best course of action to follow is with regards to your property that's under water in Scottsdale.

In order to make an informed decision about how to proceed, you need information.

FREE Tools that provide a current market value of your Scottsdale property, and calculate your Equity Growth based on the terms of your loan(s) and your prediction of how property values will change in the future, are available in our Homeowner Toolbox on our AvoidForeclosureInPhoenix.com website.

For additional information schedule a FREE Confidential No-Obligation Short Sale Consultation with Haven Express, the leading Short Sale team in Maricopa County. 

Call us for help today!

About the Authors - Updated 2018

If you are considering a Traditional or Short Sale of your home in Phoenix, Scottsdale or any location in Maricopa County Arizona, you owe it to yourself to talk with Haven Express @ Keller Williams Arizona Realty to determine whether Tony and Suzanne Marriott are the best real estate Brokers in the Phoenix and Scottsdale metropolitan area to help you with the Successful Sale of your home.

Tony and Suzanne have personally Listed, Sold and Closed more than a hundred Short Sales with the highest list to close rate in the Phoenix Metro Area!

Tony Marriott - Chief Executive Officer - Haven Express @ Keller Williams Arizona Realty

Suzanne Marriott - Chief Learning Officer - Haven Express @ Keller Williams Arizona Realty

Associate Brokers, REALTORS
Haven Express
Keller Williams Arizona Realty

Comments

Tony and Suzanne .... thanks for continuing to beat this drum!  Time is running out quickly ... it's already January 2 ...  I fear that inaction will be the bane of many folks ... so the more often they see the opportunity and the urgency ... the more people can be helped ... for time runs out!

Posted by Jack Mossman - The Nines Team at Keller Williams in Stockton, The Nines Team at Keller Williams in Stockton (The Nines Team At Keller Williams) almost 9 years ago

Jack - Good to hear from you and thanks for the comment!

Posted by Tony and Suzanne Marriott, Associate Brokers, Serving Scottsdale, Phoenix and Maricopa County AZ (Haven Express @ Keller Williams Arizona Realty) almost 9 years ago

Enjoyed this post and want to read more - try this one - Peacocks and Pickles for Christmas 2015!  Merry Christmas!

Posted by Tony and Suzanne Marriott, Associate Brokers, Serving Scottsdale, Phoenix and Maricopa County AZ (Haven Express @ Keller Williams Arizona Realty) almost 4 years ago

Enjoyed this post and want to read more - visit our website  - HavenExpress.com - where all your questions about buying and selling residential real estate in Arizona are addressed!

Posted by Tony and Suzanne Marriott, Associate Brokers, Serving Scottsdale, Phoenix and Maricopa County AZ (Haven Express @ Keller Williams Arizona Realty) over 3 years ago

Enjoyed this post and want to read more - visit our website  - HavenExpress.com - where all your questions about buying and selling residential real estate in Arizona are addressed!

Posted by Tony and Suzanne Marriott, Associate Brokers, Serving Scottsdale, Phoenix and Maricopa County AZ (Haven Express @ Keller Williams Arizona Realty) over 3 years ago

Enjoyed this post and want to read more - visit our website  - HavenExpress.com - where all your questions about buying and selling residential real estate in Arizona are addressed!

Posted by Tony and Suzanne Marriott, Associate Brokers, Serving Scottsdale, Phoenix and Maricopa County AZ (Haven Express @ Keller Williams Arizona Realty) over 3 years ago

Enjoyed this post and want to read more - visit our website  - HavenExpress.com - where all your questions about buying and selling residential real estate in Arizona are addressed!

Posted by Tony and Suzanne Marriott, Associate Brokers, Serving Scottsdale, Phoenix and Maricopa County AZ (Haven Express @ Keller Williams Arizona Realty) over 3 years ago

Enjoyed this post and want to read more - visit our website  - HavenExpress.com - where all your questions about buying and selling residential real estate in Arizona are addressed!

Posted by Tony and Suzanne Marriott, Associate Brokers, Serving Scottsdale, Phoenix and Maricopa County AZ (Haven Express @ Keller Williams Arizona Realty) over 3 years ago

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