Kev347 – If the condo in Vegas is not a primary residence it is not included in the Mortgage Relief Act that prevents bank loss on foreclosure from being taxable as income.
Her 1st mortgage is most likely non-recourse so it will be settled at short sale or foreclosure. If her second is the same (a closed true second mortgage) then it will be the same. If however, it is a HELOC or other type of revolving credit loan, then she may still be on the hook for it even if she walks away.
Contact me and I can take a look at her situation for more clarity and what options she has. If she can rent it, the rent rates are going up in Vegas and vacancy is going down. A rental income can offset at least some of the mortgage payments. A short sale is the best way for her to unload the property and save her credit. Go to
and have your friend contact me. I close a handful of ss each month here in Vegas. There's no reason to just foreclose if it can be disposed through short sale.
