The mortgage debt relief act was recently signed into law by President Bush. Basically, this act relieves the debt forgiven by a bank in a home short sale between 2007-2009, from being taxed as income. Here's a link to more information on the Act.
http://www.whitehouse.gov/news/releases/2007/12/20071220-6.html#
If your or your clients property is in danger of being foreclosed, consider a real estate auction for its time effectiveness of being able to find ready/willing buyers that will compete on the price alone - bringing a maximum cash value price on auction day.
Linda Mardi
AuctionFirst.com
