A short sale is a sale in which the total amount owed by a Seller, including the cost of the transaction, is greater than the price for which a property may be sold.
A seller who finds himself or herself in the position of selling for less than the balance of their mortgage will attempt to negotiate with the lender or lenders. The seller will attempt to lower the payoff amount necessary to pay the lender in full in order to allow the sale to go through.
Many short sales also are in pre foreclosure.
Springfield, MA attorney Nyles L. Courchesne has written an excellent and comprehensive article about short sales in Massachusetts on his real estate attorney blog.
Hi Rich - I have written a detailed explanation at my website on everything a buyer or seller would want to know about short sales: http://www.sellmyhomeinmetrowestma.com/Mass_Short_Sales/page_2238766.html
Nyles did an excellent job.
Posted by: Bill Gassett | July 06, 2009 at 03:29 PM