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.
Modify Search Criteria
Your search returned more than 1500 results (4871). Please refine your filters for better results.
229 N Shelmore Boulevard
Mount Pleasant, SC 29464
Ion
Residential
MLS# 26019469 / Active
Welcome to 229 N. Shelmore Boulevard, a rare I`On gem under $2 million that has been remodeled top to bottom. This lovely four-bedroom home has jus...
Lot D-2 Hwy 165
Ravenel, SC 29470
Residential
MLS# 26019468 / Active
PROPOSED CONSTRUCTION on a 2+ acre, no HOA lot, only minutes from I-26, Summerville and all things Charleston! $20,000 builder incentive to spend o...
514 Tarleton Drive
Summerville, SC 29483
Reminisce
Residential
MLS# 26019465 / Active
Welcome to 514 Tarleton Drive in Reminisce, a thoughtfully designed home situated within the Dorchester District Two school district. This spacious...
1081 Peridote Way
Ladson, SC 29456
Taylor Farms
Residential
MLS# 26019463 / Active
Freshly painted to maintain its like-new feel, this home has been exceptionally well cared for and features a brand-new roof installed in 2025. And...
5150 Trump Street UNIT #602
North Charleston, SC 29420
Charleston Park
Residential
MLS# 26019462 / Active
Standout features set this upgraded 3-bedroom, 2.5-bath, 1,703 sq ft townhome-style condo apart from anything else in the Pines of Charleston Park....
1055 Royalist Road
Mount Pleasant, SC 29464
Snee Farm
Residential
MLS# 26019461 / Active
Behind one of Snee Farm`s most established addresses, you`ll find something rare: a home taken down to the studs and thoughtfully rebuilt. Picture ...
804 Kings Oak Court UNIT #1
Charleston, SC 29492
Governors Cay
Residential
MLS# 26019459 / Active
Welcome to 804 Kings Oak Court Unit 1, a beautifully positioned end-unit townhome in the sought-after Governor`s Cay community, offering expansive ...
995 Oakcrest Drive
Charleston, SC 29412
Willow Walk
Residential
MLS# 26019458 / Active
Welcome to your own private retreat on James Island! Perfectly situated on a peaceful cul-de-sac and backing to a tranquil pond, this charming 3-be...
1485 Menhaden Lane
Mount Pleasant, SC 29466
Stratton By The Sound
Residential
MLS# 26019456 / Active
Welcome to 1485 Menhaden Lane, where timeless Lowcountry architecture, beautiful water views, and exceptional craftsmanship come together in the hi...
8655 McChune Court
North Charleston, SC 29420
Coosaw Creek Country Club
Residential
MLS# 26019455 / Active
Welcome to an extraordinary Lowcountry estate where timeless Southern architecture, exceptional craftsmanship, and an unrivaled natural setting com...
537 New Regenia Place
Holly Hill, SC 29059
Residential
MLS# 26019453 / Active
Under construction, NO HOA! Large lot! Ask about current financing incentives such as 100% loans with no PMI. The Willow offers a one-story layout ...
120 Tattingstone Way
Goose Creek, SC 29445
Crowfield Plantation
Residential
MLS# 26019451 / Active
Nestled on a quiet cul-de-sac in The Hamlets at Crowfield Plantation, this stunning 2-story, 5-bedroom home features a rare primary suite on the ma...
41 Pitt Street
Charleston, SC 29401
Harleston Village
Residential
MLS# 26019450 / Active
Introducing 41 Pitt Street, a rare 7 bedroom 5.5 bath home with 4 off street parking. One of downtown Charleston`s most affordable luxury renovatio...
3413 Kirkwall Drive
Summerville, SC 29485
Buckshire
Residential
MLS# 26019449 / Active
Welcome to this beautiful 4-bed, 2.5-bath home nestled in a highly desirable Summerville neighborhood! Combining the best of both worlds, this prop...
321 Eclipse Street
Summerville, SC 29486
Nexton
Residential
MLS# 26019446 / Active
Why wait months to build when you can move into a home where the upgrades are already complete? This beautifully appointed Ashton Woods Witherbee C...
1022 Wading Point Boulevard
Huger, SC 29450
French Quarter Creek
Residential
MLS# 26019445 / Active
Water views, oversized homesites, minutes from Mount Pleasant and the beach! This is French Quarter Creek, privately nestled at the edge of the pro...
Reduced -$1,325
212 Tyner Trail
Summerville, SC 29486
Tyner Trail
Residential
MLS# 26019444 / Active
Welcome to 212 Tyner Trail, a beautifully maintained 3-bedroom, 2.5-bathroom townhome offering 1,767 sq. ft. of comfortable living space. The open-...
1111 Fitzgerald Court
Summerville, SC 29485
Summers Corner
Residential
MLS# 26019443 / Active
**Sellers offering $5k towards buyers closing costs!!* Why wait to build when you can move right in with more! Located in the highly sought after S...
522 Killdeer Road
Summerville, SC 29486
Nexton
Residential
MLS# 26019441 / Active
Welcome to 522 Killdeer Road, a beautifully maintained 4-bedroom, 2.5-bath home offering 2,772 square feet of thoughtfully designed living space. T...
1436 Kinglet Street
Mount Pleasant, SC 29464
Cassina Heights
Residential
MLS# 26019439 / Active
Experience the pinnacle of new construction luxury in this meticulously designed 5 bed, 3.5 bath home. You`re welcomed by soaring 10 ft ceilings, c...
8831 Kellum Drive
North Charleston, SC 29420
Charleston Park
Residential
MLS# 26019438 / Active
Professional Photos Coming Soon! Welcome home to 8831 Kellum Drive, where generous living spaces and everyday comfort come together in this invitin...
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 EXP Realty LLC 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 07-10-2026 8:01 AM 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 2026 Charleston Trident Multiple Listing Service, Inc. All rights reserved.