This is part of our series about new 2015 California Real Estate laws. Click here to see the series.
This new law prohibits anyone from causing or allowing any person to bid at a sale for the sole purpose of increasing the bid on any real property being sold by the auctioneer. An auctioneer or another person may place a bid on the seller’s behalf during an auction of real property if proper notice is given that bid has reserve. This law also requires disclosure to all auction participants that the particular bid has been placed on seller’s behalf. See Civil Code §§ 2079.23 and 1812.610.
The KCM Crew gives you a couple of reasons it’s wise to buy right now instead of renting.
1. Homebuyers spend an average of 15.3-17.4% of their income on their mortgage, while renters pay 29.9%.
2. Buying a home is 30.8% more affordable than renting compared to statistics from 1985-1999.
To view their entire post, click here.
Today begins our series about new 2015 California Real Estate laws. Click here to see the series.
2015 Real Estate Laws: Tax Exemption for Mortgage Debt Forgiveness
This law extends California’s exclusions of taxation of mortgage debt forgiveness for qualified principal residence indebtedness in partial conformity with the federal Mortgage Forgiveness Debt Relief Act of 2007. Qualified principal residence indebtedness is limited to $800,000 ($400,000 for taxpayers filing separately). Forgiven debt will not be treated as cancellation of debt income, but will instead be capital gains. Taxpayers may exclude from capital gains up to $500,000 ($250,000 for taxpayers filing separate) of qualified mortgage debt forgiven. See Revenue and Taxation Code §17144.
With rising inventory and modest expectations of demand growth, REALTORS® responding to the October 2014 survey expected home prices to increase modestly in the next 12 months, according to data gathered from the October 2014 REALTORS® Confidence Index Survey. Local conditions vary with expectations anchored on factors such as the level of inventory, the state of the local job market, and credit conditions.