Ventura Ca 93001 Property Management - Exit Realty By The Sea, Ventura, CA 93001
Again we would like to say, “We appreciate you and the business you entrust with us”.
Attached you will find a detailed income and expense statement for your property. Please do not hesitate asking any questions you might have concerning this statement or any other matter. We plan to send the year-end tax statements next week.
The January1 late night show for many was Congress reaching a settlement in the “fiscal cliff” negotiations. As one result, the Mortgage Forgiveness Debt Relief Act has been extended for another year. The measure will continue to exempt from taxation mortgage debt that is forgiven when homeowners and their mortgage lenders negotiate a short sale, loan modification (including any principal reduction) or foreclosure. This will encourage sellers who are “on the fence” to move forward and sell their property, which will help stabilize the salable inventory of properties.
Last year CAR (California Association of Realtors) encouraged California legislators to extend California’s version of the mortgage debt forgiveness. That legislation was drafted and we expect it to be passed when the legislators reconvene.
CAR also reported under the agreement, the so called “Pease Limitations” that reduce the value of itemized deductions are permanently repealed for most taxpayers but will be reinstituted for high income filers. These limitations will only apply to individuals earning more than $250,000 and joint filers earning above $300,000. The thresholds have been increased and are indexed for inflation so will rise over time. Under the formula, filers gradually lose the value of their total itemized deductions up to a total of a 20% reduction.
The reinstitution of these limits has far less impact on the mortgage interest deduction (MID) than a hard dollar deduction cap, percentage deduction cap, or reduction of the amount of MID that can be claimed.
Capital gains rates on the sale of principal residences will remain unchanged and continues to exclude the first $250,000 for single taxpayers and $500,000 for married couples.
With all of these changes being just beginning of what is to come, it seems appropriate for us to consider your rental income. For those properties with rents below market and those that have had no increase in more than two years, a slight increase of 1% to 1.5% might be justified. By making a slight adjustment every year or two when justified, we can avoid a big increase to catch up with the market and reduce the risk of a tenant moving. We are reviewing the property rents and would like to share our thoughts later this month.
This reported, our purpose is to continue to be available seven days a week to manage tenant challenges economically and continue to advantage any vacancy with our Open Sign at one of the best real estate locations in town.
Thank you and we wish you and your family the best year ever.
The future is bright for real estate investing and ownership in Ventura, California.
Our Agency offers Listing, Sales and Property Management Services in Ventura,
Oxnard, Camarillo, Port Hueneme, Ojai, Santa Paula, Filmore and Moorpark. Ask us about our free, no obligation real estate consultations and let us show you how we can strategically market your home to a successful sale. 805.656.8000