Mortgage lenders will face new requirements for providing financing information to home buyers during the mortgage application process. These rules will also affect how real estate attorneys and brokers manage the conclusion of a transaction because lenders will be required to send home buyers specific disclosures before a closing can occur and certain financial details of a transaction cannot be altered without a new disclosure form being issued.

Real estate professionals are encouraged to advise their clients who are close to choosing a home and applying for a mortgage to inquire with their lender about how these new rules may affect their mortgage application.

For more information about the new disclosure rules, please visit the Consumer Financial Protection Bureau website. 

The Mortgage Forgiveness Debt Relief Act of 2007, which provided tax breaks to homeowners who were forgiven debt resulting from loan modifications, short sales, or deeds in lieu, was not extended through 2015. Though legislation has been introduced in Congress to extend the Act through 2016, it is incumbent on the people, especially on Long Island, where foreclosure rates are still higher than the national average, to contact their representatives and voice their support for the bill.

If you want to speak to your representatives to push for an extension for this bill, there is now an easy-to-use Web app called Democracy.io that allows its users to email their House representative and senators in a group and on a simple platform instead of having to fill out clunky forms for each representative on outdated government websites. Since easy access to the government is an important way of ensuring that the people’s concerns are heard by the government, Democracy.io will soon allow its users to send letters, call, and schedule meetings with their representatives as well.

Though it is still difficult for Congressmen to filter through the millions of messages that are received every day, Democracy.io is nonetheless a step forward in the right direction. As technology becomes simpler on the constituents’ sides, Congress will need to match on its side in order to keep up with the increased flow of communications. For now, all underwater homeowners should take advantage of Democracy.io and contact their representatives about The Mortgage Forgiveness Debt Relief Act of 2007. The more support behind the bill, the more likely it will be pushed through.

You can also track the bill here.