Keep in mind that if this is a short sale, the difference "what the bank eats" may show up as income next year. You might talk to a tax guy now and plan accordingly. Hate to have you do a 30K short sale, then get blindsided with 5K in taxes next year.......
Not if you can prove insolvency at the time of the transaction. Meaning your total assests fair market value is less then your total debts. Something to keep in mind come tax time.
