The reality TV star was given the tragic news by doctors yesterday following an emergency operation to remove a bowel tumour.
A source close to Goody told The Mirror: "This is the news she has been dreading.
"No matter how bad things seemed before there was always some hope. Now even that has been taken away from her. She now has to face up to the full horror that she is going to die - and that she is going to die soon."
Goody was diagnosed with cervical cancer while taking part in the Indian Big Brother in August. Last month, she confirmed that the disease has spread to her liver, bowel and groin.
Specialists had hoped that a course of the drug topotecan hydrochloride, which is known by the trade name Hycamtin, could prolong the mother-of-twos life.