Short Sales

The "Short Sale" is in vogue today. You have a short sale when the owner offers the property at a price where the owner is "short" funds at closing to pay off the loan or loans.
Our Multiple Listing has many, many short sale offerings.
Let's say Mr. Owner bought in '05 for $550,000 and has a first mortgage of $400,000. and a refinanced home equity of $200,000. Today the house is valued at $450,000. If the house is sold for $450,000 the owner is short $150,000 at closing.
Under these facts the only way a closing could take place would be with the lender(s) agreeing to take less at closing.
WELL-
lenders won't preapprove any scenarios here- they tell us agents to "bring an offer" which they will consider.
IT'S RIDICULOUS-
I've had a real decent offer in with Countrywide on a property where the owner is very "short"-
Countrywide has been as slow as molasses- we are talking months, not weeks of silence. The trouble is that they want something close to fair market value but then they don't play by fair market rules.
I'm not convinced- not convinced that Congress understands the housing crises- and not convinced the lenders are commit ed to sorting out this mess.