Sunday, September 25 , 2016, 12:28 pm | Fair 90º

  • Follow Noozhawk on LinkedIn
  • Follow Noozhawk on Pinterest
  • Follow Noozhawk on YouTube
 
 
 

Laurel Abbott: California Realtors Group Backs Mortgage Debt Forgiveness Bill

Last week representatives from the Santa Barbara Association of Realtors attended the California Association of Realtors business meetings in Monterey. It was a productive event.

There were forums to discuss how global real estate is starting to evolve, and what associations are dealing with on a local level. We performed committee work on our MLS rules, the forms we use in transactions, strategic planning, land use and more.

In celebration of the 100th year of the Realtor Code of Ethics, there is a task force dedicated to proposing new guidelines to uphold that code and professionalism in our industry.

We were also briefed on the legislation the organization will be sponsoring this year. Many have heard about the federal passage of mortgage debt forgiveness, but California has not passed any legislation yet. In an effort to have our state laws conform and help out underwater homeowners, the California Association of Realtors is sponsoring Senate Bill 30.

Written by state Sen. Ron Calderon, D-Montebello, this bill would exempt the taxation of mortgage debt that is forgiven when homeowners and their mortgage lenders negotiate a short sale or loan modification, including any principal reduction, for another year.

“We applaud Sen. Ron Calderon for acting so quickly on an issue that’s critical to the housing market,” CAR president Don Faught said. “We urge the California Legislature to also act quickly and pass a measure that will give hope to tens of thousands of California homeowners and provide the vital financial relief they need in order to make important personal financial decisions.”

The previous California exemption lapsed at the end of 2012, so forgiven mortgage debt is considered taxable state income for the time being. Upon passage of SB 30, the measure would be effective retroactive to Jan. 1, 2013. We are working toward that end.

Thanks to everyone who attended and gave of their valuable time, minds and efforts to keep California real estate progressing.

Laurel Abbott is a real estate agent with Prudential California Realty and president of the Santa Barbara Association of Realtors. Contact her at .(JavaScript must be enabled to view this email address) or 805.879.8050. The opinions expressed are her own.

Reader Comments

Noozhawk's intent is not to limit the discussion of our stories but to elevate it. Comments should be relevant and must be free of profanity and abusive language and attacks.

By posting on Noozhawk, you:

» Agree to be respectful. Noozhawk encourages intelligent and impassioned discussion and debate, but now has a zero-tolerance policy for those who cannot express their opinions in a civil manner.

» Agree not to use Noozhawk’s forums for personal attacks. This includes any sort of personal attack — including, but not limited to, the people in our stories, the journalists who create these stories, fellow readers who comment on our stories, or anyone else in our community.

» Agree not to post on Noozhawk any comments that can be construed as libelous, defamatory, obscene, profane, vulgar, harmful, threatening, tortious, harassing, abusive, hateful, sexist, racially or ethnically objectionable, or that are invasive of another’s privacy.

» Agree not to post in a manner than emulates, purports or pretends to be someone else. Under no circumstances are readers posting to Noozhawk to knowingly use the name or identity of another person, whether that is another reader on this site, a public figure, celebrity, elected official or fictitious character. This also means readers will not knowingly give out any personal information of other members of these forums.

» Agree not to solicit others. You agree you will not use Noozhawk’s forums to solicit and/or advertise for personal blogs and websites, without Noozhawk’s express written approval.

Noozhawk’s management and editors, in our sole discretion, retain the right to remove individual posts or to revoke the access privileges of anyone who we believe has violated any of these terms or any other term of this agreement; however, we are under no obligation to do so.

Support Noozhawk Today

You are an important ally in our mission to deliver clear, objective, high-quality professional news reporting for Santa Barbara, Goleta and the rest of Santa Barbara County. Join the Hawks Club today to help keep Noozhawk soaring.

We offer four membership levels: $5 a month, $10 a month, $25 a month or $1 a week. Payments can be made through PayPal below, or click here for information on recurring credit-card payments.

Thank you for your vital support.



Daily Noozhawk

Subscribe to Noozhawk's A.M. Report, our free e-Bulletin sent out every day at 4:15 a.m. with Noozhawk's top stories, hand-picked by the editors.

Sign Up Now >