WHAT IS A SHORT SALE?
A short sale is a sale of real estate in which the net proceeds from selling the property will fall short of the debts secured by liens against the property. In this case, if all lien holders agree to accept less than the amount owed on the debt, a sale of the property can be accomplished.
A short sale occurs when a lender agrees to accept less than the full balance of the amount owed in order to release their lien on real property. Short sales have become a popular solution for homeowners who wish to sell their property but owe their lender(s) more than their home is worth.