The simple answers is when you sale a home in which the amount owed to the lender(s) is more than amount that the home can be sold for.
Instead of the owner of the home having to pay for the difference to complete the sale, the home sale is negotiated through the lender(s) in which they agree to accept less than the amount owed to satisfy the loan allowing the home to be “paid off,” short.

A successful Short Sale prevents a foreclosure that can be damaging to your credit. Your Credit will recover quicker from missed mortgage payments, if you are able to keep your other accounts current. Our job is to help you avoid foreclosure to help your credit recover more quickly.