Barry - Some smaller, regional lenders might be interested in that option. Generally, the national lenders don't look to other properties to collateralize to allow a short sale.
Another option is to put the 3 20k properties into a trust so it doesn't show on a title search based on name.
Satar I hope you are not advocating the hiding of assets?
I advocate any legal solution to negotiate the best outcome for my clients in a debt settlement.
Hiding? Maybe protecting?
pretty much zero. They may want a note or contribution, but that's about it.