I should have gotten a lawyer back when we moved out in 2007. Everything I'm reading now sounds like I've fucked myself by trying to stay current on the mortgage after I moved out. If your debt is forgiven you only get the income tax exemption for that shitton of money if you were living in your home for 2 of the 5 years before foreclosure. I would easily qualify for chapter 7 bankruptcy but that only gets rid of credit card debt, not tax debt, and what did I scrape to pay off? Yay, 10k of credit card debt. I'm really pissed on this point because it had been my understanding that bankruptcy did NOT affect credit card debt and now everything I'm reading says it does. So it looks like I've wasted 10k paying off my credit card and 30k on repairs and staying current on the mortgage after we left. And I'm yet to discover how much the foreclosure will bite us in the ass. It looks like I'd be BETTER off if they did sue for deficiency because then we could spend like 2k filing for bankruptcy and then not be taxed on that as income. I really hope this income on forgiven debt thing is affected by insolvency without it having to be actual bankruptcy because that might actually work out. Anyway I have to get a lawyer.