I am having difficulties trying to sale my home through a short sale. The first mortgage has approved the sale and is taking a huge loss, since the home is upside down, now the problem I've encountered is that the second mortgage is not willing to approve the short sale, saying that they will not negotiate and settle for any type of partial payment. The want the full amount owed, or otherwise they rather the house be sold at auction. Now my question is what should I do? Should I insist them?..I don't understand why they rather have the home sell at auction and them get zero, than approve the short-sale and receive a certain percentage. The second mortgage was not a line of credit, it was used to purchase the home. Does anyone have any tips?