If you owe more than your home is worth, you may qualify for a short sale.  There are several deciding factors for qualification and the first is that you have to have a “provable” hardship.  A hardship can be unemployment, divorce, or job transfer to name a few. 

My first appointment with a homeowner is more information gathering and answering questions.  It is at this time when I review your situation and then your next step is to seek the advice of counsel and a tax professional.

Real estate agents are not attorneys or tax professionals, and cannot give such advice as that is practicing outside their area of expertise.  When seeking the advice of an attorney or tax professional, be ready to disclose personal and financial information.  After all, they will have to understand your unique situation and what brought you to their offices. 

Time is of the essence.  If you are in this situation, it is best to be quick about gathering as much information and contacting those of us in these fields.  You need to be diligent about seeking advice from seasoned professionals in the legal, tax and real estate fields.  Understanding the situation and all of the ramifications will help you to coordinate a plan.  With that plan of action, the stress of this predicament may be reduced to a manageable level. 

Banks/lenders are faced with thousands of short sales and there is nothing in writing that says they have to accept a short sale.  Other options are foreclosure and bankruptcy.  Again, these are areas that need to be discussed by attorneys and tax professionals.  Your best interests will be served by those professionals who will understand your entire estate and all tax implications to provide the best outcome for you!