Comments on: HUD Publishes FAQ Regarding Proposed Rules for FHA Net Worth Requirements

By: Anonymous

Anonymous — Sat, 05 Dec 2009 01:23:00 +0000

Mr. Judge,rnrnYou are correct; this is the wrong thread for such a discussion.rnrnIncome tax planning is based not just on tax law but also on the facts and circumstances of the taxpayers involved. Planning can be complicated unless the home is absolutely the only asset of the borrower. The best advice I can provide is for the parties to seek the advice of a knowledgeable, competent, and experienced tax advisor familiar with such matters.

By: James_E_Veale_CPA_MBT

James_E_Veale_CPA_MBT — Fri, 04 Dec 2009 23:23:10 +0000

Mr. Judge,

You are correct; this is the wrong thread for such a discussion.

Income tax planning is based not just on tax law but also on the facts and circumstances of the taxpayers involved. Planning can be complicated unless the home is absolutely the only asset of the borrower. The best advice I can provide is for the parties to seek the advice of a knowledgeable, competent, and experienced tax advisor familiar with such matters.

By: Tane

Tane — Fri, 04 Dec 2009 21:55:00 +0000

The bigger the lender the more likely they will go 100% retail. The liability they assume is too much to risk. If you look around at the big lenders you will see an aggressive pursuit towards retail. rnrnIt’s time to start looking for a community bank or credit union to to work with and convince them to be their exclusive broker.

By: Tane

Tane — Fri, 04 Dec 2009 19:55:48 +0000

The bigger the lender the more likely they will go 100% retail. The liability they assume is too much to risk. If you look around at the big lenders you will see an aggressive pursuit towards retail.

It's time to start looking for a community bank or credit union to to work with and convince them to be their exclusive broker.

By: markjudge

markjudge — Fri, 04 Dec 2009 14:32:35 +0000

Mr. Veale

I had another question regarding our previous postings on the other thread. Regarding the nonrecourse/ IRS related 1099-C situation.

If the heir walks away as opposed to selling the home, does the IRS still have the ability to consider the cancelled debt as taxable income for the heir

By: Andrew Milks

Andrew Milks — Fri, 04 Dec 2009 03:05:00 +0000

Some will do that, but that will leave a nice hole for an aggressive wholesale lender. Without doubt, this will create a serious change, but I doubt ALL lenders would take the 100% retail path.

By: Kevin McNichol

Kevin McNichol — Thu, 03 Dec 2009 23:18:57 +0000

What's to prevent lenders from deciding to go 100% retail and avoid any correspondent related potential risk?

By: The_Critic

The_Critic — Thu, 03 Dec 2009 22:54:57 +0000

One thing is for sure, the standard of acceptance will differ by lender even if there is a required standard criteria. However, it seems many correspondents will be more closely supervised.

The changes will be interesting to observe. Hopefully, this change will result in better monitoring of correspondents but this change is not consistent with what is occurring in Congress. Whether the number of correspondents will be more or less on any particular than the current system would have resulted in, no one can answer.