Legal Question in Real Estate Law in Oregon

No, because "short sale" means you have a written agreement with the bank that the bank will accept the "short sale" price and not go after you for any deficiency.

Also, Oregon has an "anti-deficiency statute," which states that, if the lender forecloses the mortgage, the lender cannot come after you for the deficiency. The 2010 Oregon Legislature amended that so it now applies also to second mortgages made at the same time as the first mortgage and involving the first mortgage lender or any associated firms.

Be very careful what you sign if you agree to the "short" sale with the bank. Although Oregon is an anti-deficiency state, the bank can ask you to agree to make payments on the difference between the "short" sale and what was owing at the time of the sale. If you sign that agreement, you will end up owning the bank.

f you resist signing to a "short" sale agreement that requires you to make payments, and still are able to make the "short" sale work, then you will be free of that debt and the bank cannot get a deficiency judgment or go after your other assets.