The first and most important issue is  whether the sale price proposed is the equivalent of the market value. To confirm that the proposed sale price is current market value the Bank will normally obtain an independent valuation from a qualified realtor. After the Bank confirms that the sale price is market value the Bank will usually grant the short sale so long as there is a good reason to do so. Many times the good reason for a short sale also known as a hardship letter is more about how it is written than the actual reason.

The second issue in the short sale process is whether the seller is able to pay the deficiency. To obtain a waiver of deficiency the seller must provide the bank with a detailed financial statement along with income and expense analysis.

Hiring a short sale lawyer or a short sale attorney to assist is essential to the success of the short sale.