Bankruptcy reform bills in the past have sought to include mortgage write downs (or "cram downs" as mortgage lenders to call them) on primary residences. For second homes, it is possible for a bankruptcy judge to modify the principal so that the buyer can make payments, but primary residences remain outside this purview.

The most recent incarnation of mortgage write downs in bankruptcy is coming from Senator Dick Durbin, D-Ill. Here is what National Mortgage News reports about the provisions for mortgage write downs:

Like the original bill, the new bill allows bankruptcy judges to modify
mortgages on primary residences. The mortgage industry strongly opposes
such bankruptcy "cram downs." Sen. Durbin called the bill a "marker for
future action" that he wants to pass next year.

What do you think of mortgage principal cram downs?