A dear friend of mine is in the midst of short-selling one of her homes. An avid investor at the height of the market, she had purchased a major fixer in the best neighborhood in town, with the intent to live there for the rest of her life while she slowly remodeled the place.
As you know, the market turned. Her financial situation changed, and she decided that she wanted to do a short sale to someone who could afford to fix the foundation before its condition caused a major crisis -- the problem is something she's been working on for nearly a year at this point.
She's had multiple offers to buy the place, and is currently in a holding pattern, waiting for the bank's evaluation of the most recent of these offers.