310.376.9865 Los Angeles and Riverside Bankruptcy Attorneys have noticed a new development between the Bankruptcy Trustee and the Banks, whereby the banks agree to let the Bankruptcy Trustee sell the debtor’s (person who has filed bankruptcy) house in a “short sell.” Scenario: 1. Debtor purchase a house at the top of the market for $400,000
310.376.9865 A large number of homeowners have filed a Chapter 13 in order to Strip the 2nd Mortgage from their home. The lender/banks are now sending out a 1099-C Cancellation of Debt form. This IRS form tells the IRS that the lender/bank has cancelled this debt, the lender/bank reports this as lost income to the