Who qualifies for the Mortgage Forgiveness Debt Relief Act of 2007?

I have a home that is facing foreclosure. I am familiar with the options that can help you avoid foreclosure (modification, short sale, etc). I am considering trying to get a short sale approved but was leery because of the potential of a deficiency judgement and/or 1099 on the loss. Did the new bill that was signed into law last month apply to everyone or are there specifics that determine if you qualify?





I basically am trying to determine if my mortgage holder approves a short sale or if I get foreclosed on and there is a loss incurred, will I get a deficiency judgement and/or 1099.





Any help is appreciated.





TJ

Who qualifies for the Mortgage Forgiveness Debt Relief Act of 2007?
First you need to make sure your lender is participating. This is not mandatory, but voluntary on their part.





Basically it has to be your first loan on your residence, if you refinanced or took out a home equity loan you do not qualify.





You also have to prove that you can not afford your loan anymore when the interest rate adjusts.





Additionally you have to have made every payment on time, no lates in the history of the loan.
Reply:Contact your lender. That is the first step. You won't find reliable answers here.
Reply:i think by the none response people are unsure,but i would be really interested to find out the answer myself.