Yes, you read that correctly. I recently successfully negotiated a short sale on behalf of one of my clients and he walked away from settlement with a larger check than I did.
A homeowner is “short” when they owe an amount on the property that, when combined with closing costs and commissions, is higher than the current market value. A short sale occurs when a negotiation is entered 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 sold “short”.