Anything is possible when it comes to short sales. If you can present a strong enough case to your lender as to why you need to do a short sale (ie. hardship, inadequate finances, insufficient market value, etc...); you could probably get your bank to do it (if you can make the case that "short sale" is the only real solution to your dilemma).

If you think that you cannot afford to pay your modified payments then you can re-negotiate with the lender for an affordable payment plan and if doesn't work then you can try for short sale. For short sale, you need to contact a local realtor who is experience in short sale to handle the sale properly.

Blaison Samuel
Certified Short Sale Specialist

Why do the loan mod if you are selling?
Why not ask the lender.....