Can I short sale my home that has been foreclosed on in California?

A short sale is the sale of a house in which the proceeds fall short of what the owner still owes on the mortgage.  Many lenders will agree to accept the proceeds of a short sale and forgive the rest of what is owed on the mortgage when the owner cannot make the mortgage payments. By accepting a short sale, the lender can avoid a lengthy and costly foreclosure, and the owner is able to pay off the loan for less than what he owes.

Lenders have a varying tolerance for short sales and mitigated losses. The majority of lenders have a predetermined criteria for such transactions. Other distressed lenders may allow any reasonable offer subject to a loss mitigator's approval. 

In California, the California Civil Code provides the laws that govern short sales and foreclosures.

In order to determine if a short sale is acceptable in your circumstance, please consult with a Foreclosure Lawyer.