Vegas 8 is better than 7 for multicam mixes. If you haver ever considered upgrading, I would do it for this. A 2 cam mix is pretty much just like a 1 cam mix. You get a good audio source, sync up both video tracks using the cam audio, mix and render. Once synced, Vegas 8 allows you to view both video sources at the same time. You can then hit 1 and 2 to switch back and forth. You can set a preset fade and hold ctrl when you hit 1 or 2 to fade instead of hard cuts. Here's a nice tutorial.
http://www.youtube.com/watch?v=Egexu1k6oN8
Some advice. Try to match the rate of changes with the speed of the music. few changes for slow music. more for faster music. Changing too fast too often is not good and the too few is also not good. Try to make most of your switches hard cuts. Fades are kinda amateur and distracting. Keep them to a minimum.
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