Itokuda my advice is certainly not to work out a deal to refinance your home or workout a deal with the lender. I would agree that the original poster did not have a well thought out strategy when purchasing the home and like most everyone else placed all the eggs in the my house will appreciate bucket because it HAS to!
My advice is to talk to the lender to learn about the short sale requirements and the consequences or shall I say differentiations of consequences in the reporting to the credit agencies by the lender in a short sale verses a foreclosure or deed in lieu of a foreclosure. You can talk to every attorney, cpa, or other agency in the world and you can read piggington and every other blog 24 hours a day. In the end the lender is who makes the report to the agency. Hiding from them and not finding out as much information as you can is not the right way to deal with this problem.
More often then not, even they will not know. Make no mistake this person will deal with many different groups at the lender as she goes through this process.
