I can see it's a matter of National Importance...
That people who can't afford a new home be offered yet another loan in order to buy and/or furnish one. Isn't the current crisis a result of unqualified buyers entering an overheated market?
When I bought my first home a 20% down payment was the rule. By the time I bought my second home the norm was 10%. Both times the bank examined my finances in a manner that an IRS auditor or a GI surgeon would have been envious of.
In the last few years I've seen people who couldn't pay their tax prep bill let alone their taxes qualify for $250k loans. (Which in this part of the country buys a very nice home)
The IRS will have a compliance nightmare on their hands over this. I remember reviewing several years of returns a while back and noticed that the taxpayer had converted their traditional IRA to a ROTH and had "forgot" to add back in the income after the first year of the multi-year spread. The IRS had never sent them a notice. This will be no different. Someone will be cranking out phony closing documents and scamming the system.
That people who can't afford a new home be offered yet another loan in order to buy and/or furnish one. Isn't the current crisis a result of unqualified buyers entering an overheated market?
When I bought my first home a 20% down payment was the rule. By the time I bought my second home the norm was 10%. Both times the bank examined my finances in a manner that an IRS auditor or a GI surgeon would have been envious of.
In the last few years I've seen people who couldn't pay their tax prep bill let alone their taxes qualify for $250k loans. (Which in this part of the country buys a very nice home)
The IRS will have a compliance nightmare on their hands over this. I remember reviewing several years of returns a while back and noticed that the taxpayer had converted their traditional IRA to a ROTH and had "forgot" to add back in the income after the first year of the multi-year spread. The IRS had never sent them a notice. This will be no different. Someone will be cranking out phony closing documents and scamming the system.
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