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You can't do a short sale without the lender's approval. If a short sale is possible, ask what documentation you'll need to seek approval. The typical short sale documentation package requires: 1  A hardship letter that explains why you can no longer repay your mortgage.ith a short sale, you accept an offer on your home that's less than what you owe on your mortgage and your lender forgives the remaining debt -- the difference between your mortgage balance and the net proceeds from the sale.
It almost always takes longer to close a short sale than a regular home sale, because it takes so long for lenders to review and accept your proposal. When you make a short-sale offer, federally regulated lenders must respond within 30 days and deliver a final decision within 60 days.