Monday, December 03, 2012

Michigan Judge To Cough Up $6K+ In Back Taxes, Penalties Over Improper Homestead Claim; Joins Her State High Court Justice-Mom With Real Estate Controversies

In Wayne County, Michigan, the Observer & Eccentric reports:
  • Before Dana Hathaway takes the bench on the Wayne County Circuit Court, she might want to get her house in order.

    Two homes, actually.

    Hathaway owes Birmingham Schools approximately $6,500 in additional taxes, plus penalties and interest to Oakland County and the city of Birmingham after she rescinded a house at 174 Catalpa as her principal residence for the past three years.

    Birmingham Billing Manager Janet Laing said Hathaway purchased the house in 2010 and had been paying taxes at the principal residence rate. She came into Birmingham City Hall on Nov. 5 with an affidavit declaring the Catalpa Street house as a non-principal residence.

    Laing said Hathaway has to pay the additional taxes because in Michigan, a property owner is not allowed to declare two homes as their primary residence.

    Hathaway was elected in November to serve a six-year term on the Wayne County Third Circuit Court. She's the daughter of Michigan Supreme Court Justice Diane Hathaway, who's being investigated by the FBI over allegations of mortgage fraud.(1)

    Dana Hathaway declined to comment on this story. She's listing a house in Grosse Pointe Farms as her principal residence, a necessary move since she ran for office in Wayne County.

    According to real estate records, she and her husband purchased the house in March 2010 for about $310,000. It was placed into foreclosure by the previous owner. The 3,657-square-foot house was built in 2000. It's now back on the back on the market with a listed selling price of $560,000.

posted by Home Equity Theft Reporter at 4:04 AM