Important Notice: Our web hosting provider recently started charging us for additional visits, which was unexpected. In response, we're seeking donations. Depending on the situation, we may explore different monetization options for our Community and Expert Contributors. It's crucial to provide more returns for their expertise and offer more Expert Validated Answers or AI Validated Answers. Learn more about our hosting issue here.

Is there any direct financial impact to the seller in a Short Sale transaction?

April 26, 2017financial impact sale seller short transaction

0

Posted

Is there any direct financial impact to the seller in a Short Sale transaction?

1 Answer

0

Posted

Currently, the IRS considers forgiven debt as taxable income and seller in a Short Sale transaction can expect to receive a 1099 form from their lender for the amount of debt forgiven in a Short Sale. For the most current tax implications of a Short Sale and how those implication may affect you, Home Sales Remedy and Prudential Texas Properties recommend that you speak to your CPA, financial advisor or other tax professional.