If you are facing foreclosure in Los Angeles, CA and also can no longer afford your house, you might receive a Short Sale. A Los Angeles short sale is when a house owner sells his or her home for under the amount owed on the home loan. If your home loan company accepts a short sale, you can offer your house and pay off your entire home loan balance with the proceeds. Relying on your situation, you might be required to create a monetary contribution to receive a short sale. Many lending institutions would certainly choose a short sale in Los Angeles, CA to a foreclosure procedure due to the fact that it allows them to recoup as much of the initial lending as you are able to without a costly legal process.