I know that I already addressed the issue about short sales, but there is a new (to me) development that I have come across.

Why is it that the first mortgage holder gets to decide how much the second lien holder gets....usually very little?  Why is it that in these days of financial woes, the second lien holder is then allowed to place a lien on another of the seller's properties that amounts in some cases to more than the first lien holder is paid?  Or, the second lien holder can require the seller to sign a personal note if the home that is going short was their primary home.  Essentially they hold the seller hostage since they will not sign the paperwork releasing their lien.

Has anyone thought this out?  Isn't it bad enough for those honest, hardworking people to lose their homes....and by the way there are many.  Not all of the short sale properties are the result of sub prime, no doc, no income verification loans.  You know those "if you are breathing, you qualify".  The economy, job loss, and a down market have caused many people to, through no fault of their own, fall behind on their bills.  These are people who have never renegged on their debts.  How embarrassing.  How humiliating.  Not to mention what the result is to their credit rating!

I have heard the comments, 'you're not alone' 'misery loves company' and on and on. In my opinion this situation still HURTS! 

What can we do to help?