With a Short sale you want to make sure your client is getting a FULL release of the lien. This is when the bank is paid in full but settles for less. Less being the current market value or less than what is currently owed by owner. Short sales are not to be taken lightly. They are difficult and take a while sometimes depending on what bank holds the loan and if there is a non purchase 2nd or HELOC. In Arizona we are a lien hold state so that 2nd has to go away in order for the 1st to approve the sale. It is a patient game!!
GOOD LUCK!!

Hi John,
Like John said, a short sale is when the lender agrees to accept less than what is owed. In a short sale, the lender gets some of their money back and the homeowner avoids foreclosure. Short sales are common these days because of the adjustable loan they got when they purchased their home. When their payments go up, they cant afford these payments so they have the option to put up their home for short sale rather than foreclosure. Heres a website that may better help you understand short sales.

RENE LABRADO
CENTURY 21 BEACHSIDE
949-278-4837
RENE-CENTURY21@HOTMAIL.COM

the site below may answer a lot of your questions...

A Short Sale generally preceeds a Foreclosure. It is when the Bank or Lender agrees to Accept Less than what is owed on the current Mortgage.