A short sale is basically the sale of your property for an amount that doesn’t pay of the outstanding mortgages or other liens. That means you will need lender approval to do a short sale. They would allow a short sale because they don’t want to foreclose on the property and become the owner of the property. When the lender takes ownership of your property they have to maintain the property, insure it, and evict you. This all costs the bank money in an effort to sell the property to a new buyer. However, if you are able to bring a buyer to the table and complete a short sale, they will cooperate to avoid the hassle.
You should consider a short sale because you can avoid a public foreclosure and the eviction process. You don’t want to see those things on your credit. You will also be able to purchase a home again sooner.