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With the U.S. economic recovery losing steam, the chances of a second phase of a slowdown are increasing, according to a leading economist.

Speaking in The Wall Street Journal’s The Big Interview show, Robert Shiller, professor of economics at Yale University, said he thought the second dip down of a so-called double-dip recession “may be imminent.”

Earlier this month, he told the Wall Street Journal he thought the chance of a double-dip recession, which he noted is a rare event, was greater than 50%.

More info –>>> http://online.wsj.com/article/SB10001424052748704147804575455370525902224.html

I would argue that at least in my state of Colorado, the double dip started in July and is ending already, if at all.

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Get the latest up to date mortgage info here:

http://legalwiz.com/mortgage

Updated daily

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The bill requires that tenants in foreclosed buildings can only be evicted for just cause. A lender cannot evict a tenant for failure to pay rent unless a written notice with proper contact information has been posted and delivered. It does not prohibit a lender from evicting tenants for valid reasons, such as using a unit for illegal purposes or not allowing the lender to enter the unit to make repairs.

For homeowners, the legislation temporarily extends the 90-day right-to-cure period, enacted by the legislature in 2007, to 150 days. The 2007 law gave homeowners 90 days to come up with past due payments on their mortgage before the lender could require full payment of the unpaid balance. This was intended as a cooling off period for the lender and homeowner to work out a new payment plan to avoid foreclosure.

The right-to-cure period can be reduced from 150 days to 90 days if the lender makes a good-faith effort to negotiate a commercially reasonable alternative to foreclosure.

These new provisions require at least one meeting or telephone conversation between the homeowner and the lender to discuss a commercially-reasonable alternative to foreclosure. The lender’s representative must have the authority to agree to the revised terms.

Additionally, this new provision expands the content of the notice of right-to-cure that banks must send to homeowners.

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With a complete website revamp, I’ve added a discussion forum where you can ask Q’s

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The EPA has decided to delay the effective date of their new onerous regulations.

http://online.wsj.com/article/SB10001424052748704895204575320880925552208.html

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The Federal Government has the Home Affordable Refi Program (HARP) that allows you to refi your home at a lower rate on a streamlined basis.

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Many people are operating a full or part-time small business and seeking to incorporate for tax reasons, professionalism, and liability protection.  However, most of them are getting it wrong in choosing an entity.

The popular thing to do is form an LLC (limited liability company) because it is simple and requires less formalities than a corporation.  While both a corporation and LLC generally provide the same liability protection, the LLC may have negative tax consequences.

A single member LLC (that is, one formed with a single owner) is treated for federal income tax purposes as a "disregarded" entity.  That is, for tax purposes, the IRS wipes away the LLC and taxes the single member as though the LLC does not exist.  If you are engaging in a business that involves actively-earned income, you will report that income on a schedule C of your personal return.  This means that you pay self-employment tax of 15.3% on your earnings. It also means you are  more likely to be audited, since the IRS statistically audits more small business schedule C returns than they do corporate returns.

For many small businesses, a corporation may provide better tax advantages by sheltering some of the self employment tax and reducing the risk of audit.  

Finally, don't fall for the Nevada corporation trap.  These companies advertise on radio selling the advantages of a NV corporation or LLC, when in fact there is little, if any, advantage to a local corporation or LLC if you operate within the borders of your state.

In short, don't make improper assumptions based on what others do or say.  Seek professional legal and tax counsel about your small business before proceeding.

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(From SFGATE.com)

Struggling homeowners who get loan modifications to stave off foreclosure often discover that their credit score takes a big hit.

A bill introduced on Thursday by U.S. Rep. Jackie Speier, D-Hillsborough, would shield homeowner credit ratings after a loan modification.

“To play by the rules, modify your loan and then have it as a blemish on your credit report is just flabbergasting; it adds insult to injury,” said Speier. “The credit system should not punish responsible homeowners who modify their mortgage payments to keep their homes.”

She said she first learned of the issue through articles in The Chronicle that detailed how some homeowners who made on-time modified payments approved by their servicers were being reported to credit bureaus as making partial payments, taking as much as 100 points off their credit score.

HR5743, the Protecting Homeowners’ Credit History Act, would bar banks and servicers from reporting on-time modified loan payments as delinquent and would prevent credit reporting bureaus from including this information in credit reports

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