John Jacobus's (johnjacobus) Blog

Someone asked me this week, "Should I buy now, or wait till spring and hope home prices drop another 10%?  Here's my answer. If you could control interest rates, unemployment, layoffs, factory closings, terrorist attacks, tax laws, etc etc. then you could wait and take the chance. Problem is, the...

QUESTION:  (Brett)  On a short sale, (where a bank is not fully paid) is the forgiven debt taxable income? ANSWER:  (John)  Technically yes, but most people get an exception and do not have to pay tax on the forgiven debt.   I forwarded this question to my accountant for a more complete and accur...