Strategic Default | 8 of 10 | Tax Implications

Are you underwater on your mortgage? Are you contemplating the growing trend of strategic default? Strategic default expert Paul Stevenson, creator of the Strategic Mortgage Default System, http://www.strategicloandefault.com , brings you this FREE multi-part series on the fundamentals of strategic default. In this eighth installment, Paul reminds you that even if your strategic default comes off without a hitch, you may still have to answer to the tax man. Yes, forgiven debt (your goal in walking away) counts as income, so if the bank lets you off the hook on a large deficiency, you may face a hefty tax bill. Fortunately, as Paul explains, there are many exceptions to this that can work in your favor and make the "income" non-taxable. You must understand your expected tax situation before embarking on strategic default. Be sure to watch the entire video series, in which Paul Stevenson teaches you everything you need to know BEFORE you stop paying your mortgage.