The Real Deal Miami

Short sales could get boost

September 25, 2008 10:54AM

The state Department of Revenue could spur more short sales after it clarifies the amount property owners need to pay in documentary stamp taxes. If a seller owes $200,000 on a home that’s worth $150,000, confusion over which amount was subject to documentary stamp taxes prompted some title companies to pay doc stamp taxes on the larger amount, which would be a bill of $1,400 on a home originally purchased for $200,000. A Tuesday decision by the department means the doc stamp taxes will be collected only on the amount of the short sale.