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Monthly Newsletter
Oct/Nov, 2010 - Vol 1, Issue 5
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REALTORS & BROKERS
Join Our Strategic Alliance Partnership Program Today!
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Nagle Law Group is proud to continue with its
Realtor/ Broker - "Strategic Alliance Partnership Program" Nagle Law Group is excited to work with realtors and brokers - together providing outstanding service to their clients. Those realtors and brokers who become members of this program will enjoy the benefits of working with experienced Real Estate attorneys in helping their clients understand the legal and financial risks and liabilities involved in selling or purchasing a home in today's real estate market, while providing them with first-class legal counsel at competitive rates. The benefits of this program are highlighted on our website: www.naglelawgroup.com Sign up today - you and your clients deserve an extra layer of protection!
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IN THE NEWS!
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Nagle Law has recently been in the news! Click on the links below to see and read more about what the Attorneys at Nagle Law Group are saying.
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Nagle Law Group is now on Eric Lay's Money Line Radio Show! | |
Did you know that the Nagle Law Group team is now on Eric Lay's Money Line Radio Show? Their next appearance will be October 30, 2010 at 11:00 a.m - KGME 910 AM. So tune in and learn why all Bankruptcy Attorneys are NOT created equal!
You can also click on the image below and listen to Money Line Live. After clicking on the image, click on "Listen Live Now" next to the logo in the upper left corner of the web page.
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| |  Greetings!
As the end of 2010 quickly approaches, there are a number of topics and issues on the minds of our clients. In this edition of our monthly newsletter, we'll be sharing some important information on how the new Estate and Gift Tax might affect you and your family; why Bankruptcy is considered a smart financial strategy for you and your family and why Strategic Default is a smart strategy for you to take advantage of if your property continues to be a negative asset.
We hope these articles act as a true resource for you and provide you with some of the tools you'll need to navigate these turbulent financial times. Should you need more information on any of these topics or have some feedback on certain legal topics you'd like to know more about, please don't hesitate to contact me directly.
All the best,
Robert
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Bankruptcy: It's a Financial Strategy! |
 Years ago, the idea of filing for bankruptcy was not even considered by many working class citizens! The "B" word was only for the wealthy who made a calculated decision to declare bankruptcy to get them out of a bad financial situation, or for deadbeats who just didn't want to pay their bills. As the number of foreclosures, short-sales and high unemployment rates continue, many Americans are now being forced to be strategic and realistic when it comes to their personal finances.
If you or someone you know is faced with insurmountable credit card debt, has creditors calling them at all hours of the day, or even worse, tapping into their retirement savings to pay off debts, declaring Chapter 7 bankruptcy might be a wise financial decision.
When considering your options, it is important to know what your assets and debts are and determine if there are any other feasible options besides declaring bankruptcy. Once you've decided that Bankruptcy might be a viable option, do your due diligence and speak with a reputable and knowledgeable attorney about the process and what you can expect after you file your paperwork.
It's also important to understand what filing Bankruptcy will and will not do for you. In most cases, choosing a bankruptcy strategy will help extinguish all unsecured debts and stop collection efforts from nasty bill collectors. However, bankruptcy will not prevent a lender from repossessing your automobile or home if your regular loan payments are not made.
For more information on Bankruptcy Law, please contact Stuart Pack or Walter Howl at 602-595-3156 or email them at stuart.pack@naglelaw.com or walter.howl@naglelaw.com. |
2010 - The Year of New
Estate Planning Legislation? | |
 Since the estate tax repeal came into effect on January 1, 2010, citizens nationwide are constantly asking the question "What's Next When It Comes to Our Estate Plan." Congress is reviewing the current laws, but no decisions have been made as of yet to extend or repeal the current estate planning rules and no timeframe has been established in terms of when Congress will fully engage on estate tax legislation.
So, what should clients do? While it is nearly impossible to predict what lawmakers will do when legislation actually moves forward, there are some immediate steps families can take to protect their assets. First, if you're thinking of gifting substantial assets to your family members, 2010 is the year to do it. In 2010, gifted amounts in excess of the tax-free $13,000 limit will be taxed at 35%, versus a 55% rate should the pre-2001 rates return for years 2011 and beyond. Simply put, this means there could be a material increase in the gift tax rates if Congress fails to take action before end of 2010.
Under the current laws, clients have an additional opportunity beyond gifting to remove wealth from their taxable estate. By transferring discounted interests via a grantor retained annuity trust, or GRAT, clients can reduce the assets in their estates without incurring any taxes at all. The GRAT techniques can be strategically important, but they are complex and require the assistance of an Attorney.
The foregoing are but two simple steps that can save you and your family thousands of dollars in taxes and, more importantly, allows you to take immediate action without regard to how Congress finally acts on estate tax rates and exemption limits going forward.
For more information on Estate Planning, please contact Karen Nagle or Jim Rees at (602) 595-3156 or email them at karen.nagle@naglelaw.com or jim.rees@naglelaw.com.
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5 Estate Planning Questions You Need to
Ask Yourself | |
1. Who will take care of the children if something happens to us?
2. How do we want our children to be raised if we are not alive to raise them ourselves?
3. What about personal items? Is there something special that we wanted to make sure was left to a particular person?
4. Who do I want to have a Power of Attorney should I become incapacitated?
5. Do my family members have the information they need regarding my personal files, accounts and passwords?
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Is Strategic Default Right
for You? | |
Every day we get a number of questions regarding the details of Strategic Default. Below is a common question that our clients often ask us with some feedback on how to determine if "walking away" is the right strategy for you.
Q: "I'm not late on my payments, but I don't see the market turning around anytime soon. Even if I get a loan modification, I still face the reality that my home is underwater and that I'll most likely want or need to move long before the loan is paid off. Is 'walking away' the only choice?"
A: There are many options available to homeowners beyond just walking away from the loan. It's best to assess all of the options in order to assess which course of action will make the most sense for your particular situation.
Assuming the property is protected by Arizona's anti-deficiency statues and there is only a single monetary lien, the key question becomes whether the unpaid loan is a purchase money loan or a refinanced loan? A purchase money loan limits the lender to foreclosure only, so the borrower is free to allow the home to be foreclosed with no additional personal liability for any deficiency. Also, if a lender elects to pursue a "non-judicial" foreclosure (i.e., a trustee's sale) for a refinanced loan, the lender waives the right to pursue any deficiency against the borrower.
But, lenders are beginning to understand that some of the alternatives to foreclosure will result in the lender collecting far more money than if they foreclose, so another option available to the borrower is to pursue the sale of the property for a sales price that is less than the outstanding balance of the loan and obtain lender approval of the "short sale." This scenario could allow the borrower to avoid missing any payments and allow the lender to receive more money - a win/win setting. It is essential to receive release documentation from all lenders of any liability for a deficiency in connection with a short sale. But not withstanding what you read and hear in the media, sometimes a foreclosure is a superior choice to a short sale, so it's important to consider all of the ramifications, not just the legal ones, when deciding what course of action is best for you.
Indeed, some lenders, appreciating the benefit of avoiding foreclosure, are now coming up with ways to expedite the approval of a sale in just two weeks time along with offering the borrower additional sums to assist in the moving out of the home.
So, the bottom line is that homeowners actually have many options as to the action they want to take vis a vis first and second loan financing, and it is worth investigating all the possible options available to you to determine what is the best course of action available. We all have our own unique issues affecting us; fortunately, there are options available to help get through the tough times we all have to face.
Robert Nagle is a partner with Nagle Law Group, P.C., focusing on residential transactional and debt management matters, and can be reached at 602-595-3156 or via email at robert.nagle@naglelaw.com.
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Remember: The law often changes. Each matter is different. This
information above is meant to give you a general overview and not to give
you specific legal advice. Please contact us at Nagle Law Group to
discuss your situation in more detail.
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Thank you for taking the time to browse our newsletter. Our business relies on referrals - if you find it appropriate to mention us to others in need, we would be most appreciative.  Should you wish to submit any questions for publication on our blog ( www.naglelawgroup.com/blog), feel free to email us at: questions@naglelaw.com. (Because of the volume of correspondence we receive, we can't answer every email message, nor can we provide personal legal advice)Robert
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