A United States Senate ad hoc committee — headed by Senators Christopher Dodd (D-CT) and Richard Shelby (R-AL) — are currently spearheading a bi-partisan housing rescue bill that could include a $7,000 one-year tax credit for purchasers of foreclosed homes if the legislation is passed.

In addition, the federal government would earmark $4 billion in grants to allow local governments to buy and refurbish foreclosed properties for resale or for use as “low-income” rentals. And the bill includes $10 billion for local housing agencies to refinance subprime loans and provide new mortgages for first-time homebuyers.

That’s not all.

According to MortgageNewsDaily.com, $100 million more will be allocated to expand counseling for homeowners at risk of defaulting on their loans.

This is good news for the thousands of homeowners nationwide struggling to make ends meet and who are desperate for some sort of relief. The bill would also encourage buyers to purchase Real Estate Owned (REO) properties, helping lenders and other financial institutions get them off their books faster.

And more important, it gives you more of a reason to purchase foreclosed properties (not like you needed another one) with a huge tax break on top of already discounted homes.

So what are you waiting for? Start your foreclosure search today RIGHT HERE and be one of the first to take advantage of this great news!

Joe Lents of Boca Raton, Fla., apparently requested proof from Washington Mutual Inc. — the lending institution that claimed to own the promissory note to his home — that it was indeed the rightful mortgage owner when foreclosure proceedings were initiated.

Washington Mutual Inc. couldn’t come up with the proper paperwork, and Joe has been living in his $1.5 million home since 2002 without making a single mortgage payment, according to Tampa Bay Online.

Here’s a snip from Joe:

“If you’re going to take my house away from me, you better own the note.”

Apparently, short cuts when large “bundles” of mortgages were bought and sold from 2003 to 2006 resulted in more than a few clerical errors — the assignment of ownership wasn’t always properly completed.

And when the original lender no longer exists — more than 100 mortgage companies ceased operations in 2007 alone — unlucky homeowners can all of a sudden find themselves in very lucky situations.

Just ask Joe.

For those not fortunate enough to share these same circumstances (and the probability is low) feel free to take advantage of a free consultation about how to beat foreclosure right here.

Distressed homeowners facing foreclosure and in jeopardy of losing their homes could receive a little extra time to cure the mortgage defaults thanks to an initiative proposed by United States President George Bush and his administration, according to Yahoo!News.com.

Six participating banks of the Hope Now Alliance — Bank of America Corp., Citigroup Inc., Countrywide Financial Corp., J.P. Morgan Chase and Co., Washington Mutual Inc. and Wells Fargo & Co — will delay the foreclosure process for their customers for an additional 30 days, using the extra time to try and make the mortgages more affordable.

Here’s the actual snip:

“Under the new program, six of the nation’s largest financial institutions said they will begin contacting homeowners who are 90 or more days overdue on their monthly mortgage payments. The homeowners will be given the opportunity to put the foreclosure process on pause for 30 days while the lenders look for a way to make the mortgage more affordable. The new program will be available to the holders of all types of mortgages from prime to subprime and represents a widening of an initiative announced by President Bush in December that offers a freeze on subprime mortgage rates that are scheduled to reset to sharply higher rates for borrowers who qualify for the assistance.”

Homeowners in foreclosure are encouraged to call 1-888-995-HOPE for assistance and more information about the 30-day moratorium.

However, please consider that homeowners will not qualify for the bail out program if they:

• are already in bankruptcy
• have a foreclosure sales date less than 30 days away, or
• if the home had been purchased as an investment property or was not occupied at the current time.

For more information and additional foreclosure assistance remember that professional consultants can be reached right here.

The Internal Revenue Service — the nation’s tax collection agency — recently announced that its Web site will now feature a section dedicated to helping distressed homeowners who are facing foreclosure.

This new addition includes a worksheet to help homeowners determine whether any of the foreclosure-related relief provisions apply to them. In addition, the site also provides a form for homeowners who owe additional tax to request a payment agreement with the IRS.

Keep in mind that these are not new programs or policies.

On the contrary, the IRS has long provided relief provisions that can often reduce or eliminate the tax bite for “financially-strapped” borrowers who lose their homes.

Now with the new section it just makes it easier to access this important tax relief information.

So are you eligible for assistance? Consider the following:

“Under the tax law, if the debt wiped out through foreclosure exceeds the value of the property, the difference is normally taxable income. But a special rule allows insolvent borrowers to offset that income to the extent their liabilities exceed their assets. The IRS cautions that under the law, relief may be limited or unavailable in some situations where, for example, part or all of a home was ever used for business or rented out.”

For more information head over to IRS.gov or contact the local IRS Taxpayer Assistance Center (TAC) in your area and speak with a representative direct about your tax issue.

Losing a home to foreclosure is perhaps one of the most difficult life experiences to endure for those who have to go through it.

There are numerous reasons homeowners fall behind on their mortgage payments, from illness to unemployment to divorce. Regardless of the individual circumstances surrounding foreclosure, there is a collective feeling of defeat that affects virtually everyone in this unfortunate situation.

Sometimes that feeling is only made worse when homeowners realize after the fact that foreclosure could have been avoided. Indeed, most distressed homeowners wait until the last minute to seek assistance, which is the biggest and most common mistake individuals facing foreclosure can make.

So how do you save your home from foreclosure?

First, it’s critical that you contact your lender as soon as possible. Sometimes a deal can be structured to delay foreclosure proceedings, but it needs to be done sooner rather than later. Remember, lenders don’t want to foreclose on homes — it costs them a significant amount of money.

After you have contacted your lender, the next thing you should do is reach out to a trusted foreclosure specialist. These organizations often have programs that help you catch up on late mortgage payments without getting penalized — even if you are 90 days or more behind!

We actually work with a company that has knowledgeable and helpful foreclosure specialists located throughout the nation. This company has helped hundreds of homeowners save their homes from foreclosure, avoid bankruptcy, protect their credit and more.

Even better, you can receive a FREE consultation just by filling out this quick form.

So, if you find yourself in a foreclosure situation don’t wait until it’s too late to fix the problem. Be sure to act fast and ask around for assistance to protect your investment.

It’s the smartest way to make the best out of a bad situation.

Research from the Joint Center for Housing Studies at Harvard University — via Coloradoan.com — offers two more important reasons to stop foreclosures and to keep families in their homes.

In no particular order:

1. Homeowners typically enjoy stronger family and neighborhood stability.
2. Children perform better in school and are more likely to participate in civic activities.

While these points seem obvious, it’s not uncommon for them to be overlooked. That’s because “bad credit” and other financial problems often take center stage early on in the foreclosure process.

Without a doubt, foreclosures devastate more than just personal bank accounts and credit reports — they affect countless families and neighborhoods nationwide now and in the future.

Fortunately, foreclosure assistance and advice is usually only a few phone calls away. Don’t be afraid to reach out to local agencies or non-profit housing organizations in the area for help as soon as possible.

It’s often a simple solution to a much larger and profound problem.