Compare Mortgage Quotes

Guest

Hi, I received the 1099A form from when my house was foreclosed on. My question is, in box #4 it shows the value of the property is more than the balance of what I owed by 29,000. I assume this means I owe nothing, correct? Secondly, I had a second JP Morgan Chase equity line which got wiped out in the foreclosure, but as of today 2/21/10 they've sent me no tax information. Is this proper on their part since they got nothing? Third, I filed for bankruptcy last year and it will be discharged in the next 45 days, does this affect anything? Thanks

jenkin7 · Posted: Sun Feb 21, 2010 11:50 pm Post subject:

Hi Richsun,

If the fair market value of the foreclosed property was more than what you owed, there is no deficiency and you do not owe any tax due to discharge of indebtedness. If the second lender has not sent you a 1099C form, it means he has not forgiven the second loan balance. He may come after you to collect it or may send it to collections. However, if you include the outstanding debt in your bankruptcy and it gets discharged, the second lender will not be able to come after you and you will also not owe any tax on this discharged debt.

Company	Loan Type	APR	Est. Pmt.
				Go
				Go
				Go
				Go
				Go
				Go

Compare Mortgage Quotes

form 1099A abandonment of property question and second mortg

Financial Tools

Our Community

Community Rewards

Property State:
Property Type:
Credit Rating:

All times are GMT - 7 Hours

Page 1 of 1