Let me know if you need any good agent referrals, who can assist you to sell your house and negotiate with your lender for successfull short sale.
Certified Short Sale Specialist
While your secondary home is not eligible for most of the workout plans available, if you are not able to pay for it, why not do a workout with your lender so that they don't have to go through the costs of foreclosure?
There are a number of possibilities available to work something out and in most cases that can be done without you being held responsible for any deficiencies that may exist after the home is sold (difference between what is owed - including penalties, interest, legal fees, carrying costs, etc. and what the lender "net's" from the sale) .
With all the programs available today, including but not limited to President Obama's Bailout Billions, virtually no one should lose their home to foreclosure.
Be careful of those that prey on those who are in default - get help from a reputable professional who understands todays mortgage crisis and real estate arena - preferrably a broker who knows the business of pre-foreclosure, foreclosure, REO asset management and liquidation. Each state is different so make sure that they are either in your state or have experience working in your state.
Unless you have received notice otherwise, your personal residence is safe.
Sleep well but do think about a resolution outside of foreclosure on your second home.
Trust me - your lender does not want either of your homes.
You may be surprised with your options.