· A homeowner is 'short' when the amount owed on his/her property is higher than current market value.               

· A short sale occurs when a negotiation is entered into with the homeowner's mortgage company (or companies) to accept less than the full balance of the loan at closing. A buyer closes on the property, and the property is then 'sold short' of the total value of the mortgage.

· Financial Hardship – There is a situation causing you to have trouble affording your mortgage.                       

· Monthly Income Shortfall – In other words: "You have more month than money." A lender will want to see  that you cannot afford, or soon will not be able to afford your mortgage.

· Insolvency – The lender will want to see that you do not have significant liquid assets that would allow you to pay down your mortgage.