Can I short sale my house?

You can try to short sale you house. First, you need to list it with a real estate broker who has experience in doing short sales. I can give you some names. The market is very strong right now in Las Vegas and you should have no problem finding a buyer. Then, you apply for the lender to approve the sale if it is indeed short, meaning that the sale price is less than the amount you owe to the lender. Some lenders will pay you something in the transaction, and that will depend on the lender's policies and the skills of your broker and lawyer in negotiating. Other than a payment from the lender, which is possible but not guaranteed, there is no profit since all of the money from the buyer will go to pay the lender and broker. After the sale, you will need to have your accountant apply for the tax exemption on the amount forgiven by the lender as part of the short sale.

A "short sale" occurs when the selling price is less than ("short of") the loan balance. So by definition, the seller does not make a profit on a short sale. If you are able to sell your property for the amount of the loan balance or more, you can sell it whenever you want. If the sale price will not cover the loan balance, you have to get the bank to agree to accept the sale proceeds in satisfaction of the loan. That is, the bank forgives the unpaid balance. You should discuss this with a Realtor because the results may differ with various types of loans. There are also potential significant tax consequences to a short sale that you should learn about before proceeding.

You can not make a profit on your house in a short sale. You must get nothing from the sale. Your house must be under water.

Short sale means no profit for you. When a home a short sold, it is sold to a buyer for less than the amount owed and the lender agrees to take a loss. In those cases, the homeowner walks away with no money. You can put the house up for sale to try to avoid foreclosure but there are no guarantees the lender won't foreclosure while you are selling and a foreclosure may appear on your credit report anyway. Certainly, the late payments are showing on your report now.

You don't make a profit short selling you home. A short sale means that the property is sold for less than the debt owed to the lender. Talk to a good real estate attorney in order to determine what is best for you. Each state has different laws so you need someone licensed in the state where the property is located. Be careful because there are a lot of scams dealing with short sales. Be suspicious if someone who will profit from the short sale is pushing you to do this.