how is a short sale ANY different from the bank simply renegotiating with the existing owner and changing terms and/or forgiving balances?

if I am a homeowner and don’t pay , can’t pay, whatever – and the bank fears I am going to default – a short sale coudl occur and along comes buying X with money – the bank sells the house to him and takes a big loss – but they keep getting some income.

If I am the homeowner, and don’t pay, can’t pay, whatever – and the bank fears I am going to default – but I tell them to knock off $100k off the house and I will stay and keep paying – they theoretically could wind up in the same position had they done a short sale – only quicker and with less costs.

so if banks will do short sales – why wouldn’t they just flat out cut a deal with the existing owner?

i swear – the more I read this stuff – i figure why not just STOP paying my bank – and tell them to renegotiate with me or to come and “take it” and take the $150k loss too???

problem is for me, i can affod my home – but I guess I could go out and buy a ferrari and then say I have too many bills and can’t make the mortgage..b/c of other obligations… i’m having a hardship… 🙂

this whole thing sounds like a big game and a lot of BS. play by the rules and you get scrwed. lie and cheat and you win…. WTF??!