If you are considering a real estate short sale of your home, you should be aware that you might receive a form 1099-C for the amount of the lender's losses.

This is considered loan forgiveness in the eyes of the IRS. If you have other assets such as savings and you are not insolvent, you may end up being responsible to pay ordinary taxes on the amount of the 1099-C.

If you settle a debt with a creditor for less than the full amount owed, you may be required to report this forgiven debt as regular income, with certain important exceptions.

The forgiven debts include money owed after foreclosure or property repossession or credit accounts that you don't pay. 

There are exceptions noted below:

If a lender forgives or writes off $600 or more of a debt's principal (the amount not including interest or fees) must send you and the IRS a Form 1099-C at the end of the year. When you file your tax return for the tax year in which your debt was written off, the IRS will require that you report the amount on the form as income.

Fortunately, the Obama administration passed a law stating that if you are short selling your primary residence, you may be exempt from paying taxes even if a 1099 is submitted to the IRS by the lender.

While you may not have received this form from the creditor, the creditor may have submitted one to the IRS anyway. If you don’t list the income on your tax return and the IRS has the information of the transaction on file, you could get a tax bill or, worse, an audit notice. This could end up costing you more than just the original tax bill.

There are several exceptions stated in the Internal Revenue Code. For example, you do not have to report the income on your tax return if the write off of the debt is intended as a gift, you discharge the debt in bankruptcy, or you were insolvent before the creditor agreed to settle or write off the debt. You should consult a qualified tax and legal counsel to see if these circumstances apply.

 

 

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59 Photos 7660 Blue House Lane Edisto Island, SC 29438

7660 Blue House Lane
Edisto Island, SC 29438
Blue House Plantation
Residential

MLS# 18025471 / Active
6 br, 3 ba, 2901 sqft

The Islands at Blue House - exquisite, ever changing views of wildlife, the creek, marsh,& N. Edisto from your classic lowcountry home nestled in a... 

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$799,000
Provided courtesy of Edisto Sales & Rentals Realty
14 Photos 6208 Fieldstone Circle Charleston, SC 29414

6208 Fieldstone Circle
Charleston, SC 29414
Village Green
Residential

MLS# 18025239 / Active
3 br, 2 ba, 1 half bath, 2104 sqft

Easy to show home in popular Village Creek. Large kitchen, separate dining room, screened porch, fenced back yard. First floor just painted. Privat... 

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$315,000
Increase +$5,000
Provided courtesy of The Boulevard Company, LLC
19 Photos 5060 Carrington Court Summerville, SC 29485

5060 Carrington Court
Summerville, SC 29485
Wescott Plantation
Residential

MLS# 18025102 / Active
3 br, 2 ba, 1361 sqft

Meticulously maintained single story home located in the midst of Wescott Plantation. Turn-key ready home to include recent upgrades: flooring, pai... 

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$189,000
Provided courtesy of Carolina One Real Estate
1 Photos 112 Durham Drive Goose Creek, SC 29445

112 Durham Drive
Goose Creek, SC 29445
Crowfield Plantation
Residential

MLS# 18023620 / Active
4 br, 2 ba, 1812 sqft

 

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$219,500
Provided courtesy of Harbins Two, Inc
35 Photos 1704 Hopeman Lane Mount Pleasant, SC 29466

1704 Hopeman Lane
Mount Pleasant, SC 29466
Charleston National
Residential

MLS# 18022328 / Active
2 br, 2 ba, 1 half bath, 1920 sqft

Beautiful, low maintenance townhome tucked into a serene Lowcountry setting in a sought-after golf course neighborhood! Entering the neighborhood ... 

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$340,000
Provided courtesy of Carolina One Real Estate
15 Photos 1100 Legends Club Drive Mount Pleasant, SC 29466

1100 Legends Club Drive
Mount Pleasant, SC 29466
The Legends At Mt Pleasant
Residential

MLS# 18020090 / Active Contingent
1 br, 1 ba, 836 sqft

This 1bd 1ba condo is located conveniently in the Legends at Mt. Pleasant. It is an exclusive, gated community close to Charleston National Golf Co... 

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$145,000
Reduced -$22,000
Provided courtesy of Brand Name Real Estate
1 Photos 2465 The Haul Over Johns Island, SC 29455

2465 The Haul Over
Johns Island, SC 29455
Seabrook Island
Residential

MLS# 18018610 / Active
3 br, 2 ba, 1 half bath, 2514 sqft

Easy to show! Home needs updates, but in a great location in Seabrook Island. Back porch looks over an Egret estuary and has views of the golf cour... 

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$575,000
Provided courtesy of Harbins Two, Inc
29 Photos 212-A Village At Wild Dunes Isle Of Palms, SC 29451

212-A Village At Wild Dunes
Isle Of Palms, SC 29451
Wild Dunes
Residential

MLS# 18018330 / Active
2 br, 2 ba, 1229 sqft

Beautiful Two bedroom end-unit in The Village of Wild Dunes, a Four Diamond Award winning property. The Village Complex is the latest addition to W... 

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$499,000
Reduced -$10,000
Provided courtesy of Wild Dunes Real Estate, LLC
31 Photos 5208 Mulholland Drive Summerville, SC 29485

5208 Mulholland Drive
Summerville, SC 29485
Wescott Plantation
Residential

MLS# 18017321 / Active
4 br, 2 ba, 1 half bath, 2370 sqft

Great home in the desirable Birkdale subsection of Wescott Plantation. As you enter into the first floor, you are greeted with a grand foyer and wo... 

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$245,000
Reduced -$14,000
Provided courtesy of Keller Williams Realty Charleston
9 Photos 619 Double Eagle Trace Seabrook Island, SC 29455

619 Double Eagle Trace
Seabrook Island, SC 29455
Seabrook Island
Residential

MLS# 18016763 / Active Contingent
1 br, 1 ba, 1 half bath, 817 sqft

SHORT SALE OPPORTUNITY! Enjoy the views of the golf course while sitting on the back deck of this 2-story townhome. 1 Bedroom/1.5 bathrooms with... 

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$85,000
Reduced -$4,000
Provided courtesy of Carolina One Real Estate
20 Photos 412 Sparkleberry Lane Ladson, SC 29456

412 Sparkleberry Lane
Ladson, SC 29456
Summerhaven
Residential

MLS# 18015792 / Active Contingent
4 br, 2 ba, 2173 sqft

Lots of potential with this 1 story home in Dorchester 2 School District with 4th bedroom over the garage. Fenced in yard, 2 car garage, fireplace,... 

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$189,900
Provided courtesy of ChuckTown Homes, LLC
1 Photos 108 Lisa Drive Summerville, SC 29485

108 Lisa Drive
Summerville, SC 29485
Greenhurst
Residential

MLS# 18015461 / Active Contingent
3 br, 2 ba, 1025 sqft

Cute 1 story brick ranch on large lot with 1 car garage. This would be a great house for an investor! Lots of potential. 

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$80,000
Provided courtesy of Carolina One Cane Bay/ Nexton
37 Photos 718 Royall Avenue Mount Pleasant, SC 29464

718 Royall Avenue
Mount Pleasant, SC 29464
Old Village
Residential

MLS# 18014472 / Active Contingent
4 br, 3 ba, 1 half bath, 3959 sqft

One of the most secluded settings in the Old Village. Beautiful mature landscaping surrounds this spacious home. Versatile floor plan allows for fi... 

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$949,000
Reduced -$146,000
Provided courtesy of The Cassina Group
32 Photos 7210 Mossy Creek Lane Hanahan, SC 29410

7210 Mossy Creek Lane
Hanahan, SC 29410
Tanner Plantation
Residential

MLS# 18014018 / Active Contingent
4 br, 2 ba, 2 half bath, 2420 sqft

This is a special home with wonderful Charleston curb appeal. Three covered porches, 10 foot ceilings downstairs, 9 ft upstairs, open floor plan, b... 

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$399,900
Provided courtesy of AgentOwned Preferred Group
4 Photos 2945 Cathedral Lane Charleston, SC 29414

2945 Cathedral Lane
Charleston, SC 29414
Old Towne Villas
Residential

MLS# 18013825 / Active
3 br, 2 ba, 1 half bath, 2089 sqft

End unit Townhome located just off of the golf course. Home is conveniently located near hospitals, West Ashley High School, restaurants, grocery s... 

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$195,000
Provided courtesy of Harbins Two, Inc
37 Photos 181 Blackwater Way Moncks Corner, SC 29461

181 Blackwater Way
Moncks Corner, SC 29461
Fairmont South
Residential

MLS# 18013031 / Active Contingent
4 br, 2 ba, 1 half bath, 2891 sqft

Located in the heart of Moncks Corner, you will be close to schools, shopping, and restaurants! Walking in you are greeted by smooth ceilings, crow... 

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$256,000
Increase +$1,000
Provided courtesy of RE/MAX Alliance
19 Photos 4437 Clovewood Street Ladson, SC 29456

4437 Clovewood Street
Ladson, SC 29456
Woodside Manor
Residential

MLS# 18012640 / Active
4 br, 2 ba, 1 half bath, 1480 sqft

Great opportunity for investor or owner with some vision. Home is HANDY MAN special, but with a little sweat equity, can easily be turned into a re... 

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$79,900
Provided courtesy of BHHS Southern Coast Real Estate
26 Photos 107 Yeamans Way Summerville, SC 29483

107 Yeamans Way
Summerville, SC 29483
Pine Forest
Residential

MLS# 18012639 / Active
3 br, 2 ba, 2084 sqft

Single story retired Litchfield plan offers flex room for office, playroom, art studio etc. Open floorplan with split MBR in rear; soaring ceilings... 

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$308,000
Reduced -$2,000
Provided courtesy of AgentOwned Premiere Group
19 Photos 193 Golf View Lane Summerville, SC 29485

193 Golf View Lane
Summerville, SC 29485
Highlands Of Legend Oaks
Residential

MLS# 18012628 / Active Contingent
2 br, 2 ba, 1550 sqft

Make this beautiful, like new construction your home! Everything throughout the entire townhome is new; flooring, paint, fixtures, appliances, and ... 

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$165,000
Provided courtesy of CRP Real Estate LLC
66 Photos 2068 Ashburton Way Mount Pleasant, SC 29466

2068 Ashburton Way
Mount Pleasant, SC 29466
Park West
Residential

MLS# 18012078 / Active
6 br, 4 ba, 1 half bath, 4859 sqft

Gorgeous Waterfront property on Toomer Creek with beautiful views. Golf course across the creek enhances the view and privacy in this serene locati... 

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$1,099,000
Reduced -$51,000
Provided courtesy of Carolina One Real Estate
19 Photos 6231 Rolling Fork Road North Charleston, SC 29406

6231 Rolling Fork Road
North Charleston, SC 29406
Woodhill Place
Residential

MLS# 18011968 / Active Contingent
2 br, 2 ba, 922 sqft

Not far from Boeing, Navy Weapons Station, and Trident college. Screened in porch, fireplace, and high ceilings. Great opportunity. Needs carpet ... 

More Details

$70,000
Reduced -$5,000
Provided courtesy of BIG Realty, LLC
Residential, Land, Other Disclaimer:

Broker Reciprocity The data relating to real estate for sale on this web site comes in part from the Broker ReciprocitySM Program of the Charleston Trident Multiple Listing Service. Real estate listings held by brokerage firms other than Carolina One Real Estate are marked with the Broker ReciprocitySM logo or the Broker ReciprocitySM thumbnail logo (a little black house) and detailed information about them includes the name of the listing brokers. Last updated on 09-24-2018 11:04am est. The broker providing these data believes them to be correct, but advises interested parties to confirm them before relying on them in a purchase decision. Copyright 2018 Charleston Trident Multiple Listing Service, Inc. All rights reserved.
Commercial Sale/Lease: Copyright 2018 South Carolina commercial MLS, Inc. All rights reserved. Last updated on 09-24-2018 11:04am est.

Any images related to data from the MLS is the sole property of the MLS and not the responsibility of the owner of this website.


This real estate website and IDX data is hosted by Dynamic IDX, LLC

Nat Wallen’s marketing campaign sells homes.

Thank You Charleston!

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"I did not know there was a contest, so when Charleston City Paper readers voted me as their favorite Realtor, it was really nice. Charleston is a beautiful place, but the people here are what make living here so great!" - Nat Wallen

The Carolina One™ Sign

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Every aspect of what makes a sale successful has been carefully dissected for your benefit. Even down to what colors are most memorable and recognizable together on the Carolina One Real Estate sign.

Drone Photography

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Luxury properties and large tracts of land need to be viewed from a different perspective to attract a buyer. Standing out to buyers on the web is critical, and drones can make that happen in the right situation.

Luxury Portfolio Program

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Carolina One sells more homes over $1,000,000 than any other company in Charleston. Our Luxury Portfolio Program includes high quality peripherals, professional photography and an international marketing reach including the Wall Street Journal, Luxuryhomes.com and our Luxury Homes magazine.

Coming Soon Program

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With nearly 1000 agents, I will share your homes as a "coming soon" offering in our private Facebook group. Your home will be exposed to all of the buyers Carolina One agents are working with and will sell your home faster, and for more money... and this may even happen before it is placed on the market.

A Secure Lockbox

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The latest technology is utilized to ensure your home is easily accessible and completely secure. You can rest assured that your home will only be accessed by licensed SC Realtors, on your time frame, and on your specific terms.

Showing Appointments

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Handling the day-to-day showing appointments is an integral part of the sales process. Nat is able to efficiently arrange showings designed to follow the guidelines that you determine.

High-Quality Photography

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Quality photography plays an important role in attracting a buyer for your home. By taking the time to determine the best angle, time of day and what photos to include in your marketing campaign, Nat’s photography speaks volumes.

A Professional Description

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Careful attention to details will ensure your home is described and presented in the best light possible. By describing your home accurately and positively, Nat will work with YOU as the seller to craft the best feature and benefit list possible.

Carolina One™ Marketing

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Your home sale will benefit with the Carolina One team at work. Through a variety of different mediums, the fully staffed marketing department works to expose your home to all buyers coming into the Charleston area.

The Caravan Tour

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Nat Wallen will arrange a Carolina One agent tour of your home. Agents will become familiar with what your home offers by seeing it in person, and can share this information with their clients. In addition, agent feedback provides insightful opinions on the asking price and what will aid in the process.

The “Now Showing” System

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Using Carolina One’s exclusive “Now Showing System,” Nat will proactively contact agents currently looking for a home like yours. This proprietary software system will locate agents currently working with buyers that fit the price range and area for your home.

Office Notifications

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Carolina One has several offices in the Charleston area. With quality materials and a strong network of active Realtors selling homes each day in your neighborhood, your home sale will benefit with the strength of Carolina One’s agents working together.

Free Home Warranty

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An American Home Shield home warranty will be placed on your property at no cost to you. This coverage is provided to you while your home is listed with Nat Wallen of Carolina One Real Estate.

Multiple Listing Service

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Nat Wallen takes great care to provide an engaging description and high-quality photography to share your home’s features with all Charleston area buyers.

Buyer E-mail Notifications

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With Nat’s knowledge of how to push the MLS features to their full capabilities, each day as buyers come into the market looking for a home like yours, they will receive an e-mail from their agent letting them know it is for sale and ready to be shown.

CarolinaOne.com

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With over 80,000 visitors each month, Carolina One’s professional website allows your home’s quality photos, detailed description and availability to be shared with incoming buyers to the area on a local, national and global scale.

Relocation Notifications

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Leading Real Estate Companies of the World will be notified of your home’s availability for sale. Composed of 550 firms, 4,600 offices and 140,000 sales associates in over 30 countries, this group of successful real estate agencies send referrals daily.

Mass Realtor Syndication

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NatWallen.com is a heavily used Charleston real estate website. In addition to reaching hundreds of buyers visiting each day, your home will be syndicated to over 3,000 Realtor websites.

Multiple Websites

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Your property will be listed on NatWallen.com, CarolinaOne.com, Google, CLRSearch.com, Trulia.com, Realtor.com, HomeFinder.com, FrontDoor.com, HGTV.com, SouthCarolina.com, Overstock.com. Yahoo.com, Fizber.com, Charleston.com, Vast.com, Hotpads.com, AOL.com, etc.

Social Networking

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Your home will be shared through various social networking portals. Nat controls several Facebook pages and groups. Your property will be shared on pages like “Charleston, SC” - “Fans of Charleston” - “Fans of MUSC” - “Mt. Pleasant SC”- “The Nat Wallen Team” - ”Nat Wallen Real Estate” and “The Best of Charleston.”


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