I am planning on purchasing a second home and renting out my primary. I have live there for about 3 years (after 2, becomes primary). If I can not rent my home, I am planning to do a short sale or at worst, let it go into foreclosure. From what I have read, the IRS will forgive a home if it is your primary resident. Does anyone no if there is a way around a 1099 claim?

My credit score is between 650 and 670. I am planning to buy a house with my husband and his credit score is above 800.
Are foreclosure homes better deal?

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The news these days on homeownership is about as bad as it has ever been. Prices are dropping at a record pace; foreclosures are at an all time high, etc., it’s enough to put anyone who owns a home in a state of panic. Or maybe you are already in that state of panic; maybe like so many others out there you purchased a home in the last few years only to find yourself now in a position of owing the bank much more than your home’s value. It’s hard to swallow, (more…)