I have just listed a house that I have owned since 2011. Value is about twice what I got into it including 2 rehab new appliances and 3 year old a/c unit. The area is c area headed south. I am eyeing a steady c+ area ...

The rest the government stole.

So that leaves 2 individuals who didn't pay and are involved in some government assistance (not section 8) and are very behind.  

Changes to the tax code are inevitable because our government can't keep increasing the national debt indefinitely.  

I work in a government office where I see investors make mistakes everyday.

If the local economy is dependent on 1 big manufacturer or industry, it may be a game changer for that location but if the local economy you are investing in has a good mix of solid industries that will either grow or remain well funded through (think government, public education, military) during the slow down, then you may be ok.  

Thanks for sharing @Chris Seveney While finding a workout and repayment plan is always preferred over foreclosure it is an interesting situation for forbearance and then potentially eviction being mandated/delayed by the government without any solutions for the underlying cause. 

But, I would never invest in California rental real estate, because the entire government seems to think that owners are evil and creates laws accordingly.I do not like condos as rentals for reasons I have posted multiple times on BP.Sounds like you still have some equity in the property.  

The federal government will be channeling the relief monies through individual states.

Will we see a relief of taxes when the government starts to receive estate money?