Asked by artie, Pleasanton, CA • Sun Dec 9, 2012
I surrendered my primary residence in a Chapter 7 bankruptcy that has been discharged. Lender contacted me offering relocation assistance in exchange for participating in their "Cooperative Short Sale" program. They have now approved a short-sale, but the document contains the following text:
The amount of the deficiency will be reported to the Internal Revenue Service (IRS) on the appropriate 1099 Form or Forms.
But according to my BK lawyer, I am free of the mortgage debt, so why would there be a "deficiency" reported, and does cooperating potentially create deficiency/tax exposure?
Real Estate in Pleasanton
Popular Categories in 94566
Email me when…
Success! Your email alert settings have been saved. Access all your email alerts in your My Trulia account anytime!