You can not choose the buyer for a short sale. It must be offered to all buyers. You also are responsible generally for any "shortness" of the sale on your income taxes...The difference in what it sells for and what is owed is seen as income for you. If your brother in law wants to purchase the property, you may be better off just selling it to him at a loss if you can do that. Banks do not always approve Short Sales. I would advise you to first speak to a local Realtor to discuss the value of the home and to get an idea of what it might actually sell for.