Mortgage Debt Relief Act Expiring in 2014?

[Jerry Kisasonak]

I've heard that this Act is set to expire at the end of the year. The Act allows people who are foreclosed on or who do a short sale to not have to pay taxes on the forgiven debt. If this Act does in fact expire, this is going to be a huge disincentive for home owners NOT to walk away from their homes.

What would this translate into for investors? I see many more seller saying yes to sub2 deals.