Hi Friend,

There was some big news out of Washington DC this week:
the Mortgage Debt Forgiveness Act that was set to expire
on Dec 31 was extended by 1 year by the Senate.  It still
has to pass Congress, but if it does, then that means one
more year of a "free pass" for short sellers.  This is a good
thing for inventory, as inventory is quite low and we
wouldn't want to lose those short sales or we'd have an
even bigger squeeze.  I will keep you posted.

Also, as a reminder, the 3.8% tax is going into effect on
January 1.  This tax will impact income, dividends, rents,
and capital gains subject to various rules and limitations.
As with so many taxes, it's complicated.  Alas 3.8% off
the top of a large investment could be a significant number.
So, if you've been contemplating selling your home and
you have a lot of equity, you may want to do it now and
close before year's end.  Same thing if you're selling a
business or sitting on a large stock position.  Bottom line
is if you were planning any large liquidations in 2013,
think about doing it now.  For a detailed explanation of
the new tax, click  to download a PDF.

If you have questions, or just want to chat, please call me
on my direct line at (480) 442-7325.

Have a great weekend,
Alex

p.s. Barclays Capital just released a report stating that
US housing prices may return to peak prices by 2015,
just 3 years away.  Click here for the CNN article.