The taxes on short sale of real estate seem to be treated differently according to this short sale real estate tax implications post I read. You can make up your own mind about the short sale tax implications or better yet, talk to a certified public accountant. I am not sure about the short sale taxes and how that affects short selling of real estate. Here is the short sale tax real estate post I am referring to. Short sell real estate seems to be more and more popular and the short sale taxes are a gift for taxes on real estate short selling. Does that make sense? Maybe this short sale real estate post will explain better. Or maybe not. You decide what the short sale tax affects are for your short sale or talk to your CPA first.
Here is the short sale real estate taxes article if you are interested in real estate short sales at all.