A "deficiency" occurs when your lender is compelled to take less than owed on a loan. For example, the second lender may only receive $5,000, when they are owed $40,000. In many states the lender will go to court to request a "deficiency judgment", which the lender will then use to go after the borrower's assets. It's very important to review paperwork on short sales; there is often a paragraph warning the borrower that the bank intends to file for a deficiency judgment.

This situation occurs when you owe more than a home is worth. For example,you have a $200,000 first loan, and a $50,000 second; these loans were taken out when the home was valued at $350,000. Today, the home may be worth only $180,000; you are " upside down ", and a candidate for a loan modification or a short sale. 

This is the lender employee coordinating your short sale. This person will change as you move along in the transaction; there is a Phase I negotiator, who makes sure all the documentation is in order, a Phase II negotiator, who makes sure that the short sale makes sense for the bank, and the Phase III, who pretty much finalizes the sale.

This is a loan program less used in the past. It has real appeal today, because down payments can be low, and restrictions are relaxed. The downside is that the loan is only really available in rural or semi rural areas. Pinal county has a lot of area covered, Maricopa less so, due to the large build up in the metro area.

This occurs when the bank is owed more than the property is worth in present market conditions. The owner will list the property, and attempt to sell it at market price.The bank is then presented with a contract,a list of comparable properties to show value, and a lot of documentation supporting the seller's inability to make the payments on the existing mortgage(s). The bank will review all of this, often call for more documentation, and have a BPO or appraisal done. This whole process usually takes several months. Then a decision is made, and it can range from rejection to acceptance to asking a higher price. Once agreement is reached, the contract period officially begins for inspections, title searches, escrow functions, etc, and the property closes.

This is a "Broker's Price Opinion". To get an idea what a property is worth, usually in a market the lender is unfamiliar with, a real estate agent will be asked to check comparable sales, drive by the property, and deliver an assessment of what that agent feels the property is worth. This is cheaper than an appraisal, and also is not as well regarded as an appraisal, but OK for a guesstimate. 

This is a property owned by the bank. The bank has taken possession, usually by foreclosure. REO means "real estate owned" A property such as this is sold on the MLS( Multiple Listing Service) , and usually the bank can respond quickly to an offer.