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Will I pay Taxes On My Short Sale Deficiency ?
    A question we often get from our Short Sale Sellers is: What are the tax consequences of doing a short sale?  We come from the school of "know what you don't know and refer to someone who does"....and don't hand out legal advice...suggest tax or accounting methods...however.....what we do suggest is that sellers who have done a short sale use a professional to do their tax returns if they have not done that in the past.   Sometimes...not always....our sellers get a 1099 form from the lender or lenders who approved their short sale in the amount of the deficiency that they were not charged when the sale closed.  We give our short sale sellers as much information as we can when we list the home inclusive of handouts, web links, resources from other sources.  It is, at best, a confusing time of life with lots of activity, decisions to make, a move to prepare for....and sometimes what we said, what we gave them and links we mailed, get lost in the fray of the experience.  Months later...the 1099 arrives and we get emails and calls....how do I prepare taxes or what do I do with this 1099...I don't remember that ... more

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