The National Association has produced this video that helps explains some of the key elements of the HAFA program that is designed to speed up the short sale process.

Take for example short sale transactions, lenders that are allowing customers to be released from the full obligation of their mortgage in order to sell their home, would certainly have the right to know if the customer is receiving any profit as a result of the sale.  In cases where it is a gray area or there is uncertainty, it is often best to error on the side of caution and make sure the proper disclosures have been made to all parties involved including the seller’s lender. 

No single closing is worth the long term effects of being involved in a deal that are not ethical or legal.