As promised when I posted this, here are my answers to the 3 questions posed by Angela:

1. Training.  My recommendation is that any agent looking at training options first contact their local board for any locally sponsored training events on the topic of short sales.  Keep in mind that how a short sale progresses can be affected by your state foreclosure laws, so training that is somehow locally tailored is beneficial.  After that, there are a variety of short sale educators out there.  My favorite is Michael and Stacy Spickes at americas Home Rescue.  They are here on AR and there is an AR Short Sale education group on AR as well that would be an excellent source of training opportunity information.

2. My best piece of advice when working with lenders is to educate yourself first about short sales and the process involved.  The loss mitigation representatives at lenders carry a heavy load of files and deal with a high volume of calls, being knowledgeable before you speak with them always seems appreciated since so many agents are not.  I have actually had loss mitigation representatives refer clients to me because they said that my knowing what I was doing made their jobs easier.

3.  As for what lenders will accept, traditionally on Conventional short sales I have seen acceptance in the mid-80's to low-90's% of BPO range, but lately I have actually seen it dip even a bit lower.  On FHA short sales I am seeing a low level of around 82% of appraised value.

Hope that info helps.  As I mentioned in the initial posting, anyone who is seeing other things in different markets, please share with us by posting a response here!  Thanks!

Good advice Steve, always the best advice is to educate oneself on the subject.  Thanks. 

Thanks Gail.  Someone once told me that "Ignorance may be bliss, but it won't endear you to anyone but con artists and opportunists!"

Short Sales are a great way to help homeowners that are upside down and still get paid for your expertise.  The problem is that every Realtor all the sudden is a "Short Sale Expert" and tells these homeowners that they can help them only to fail and have the home go to foreclosure.  Spend some time learning about Short Sales, Foreclosures, and Negotiation.  Short Sales are a long process and involves more than just listing a house as a "Short Sale, Make All Offers...Requires Lenders Approval".  You must be an expert negotiator and have a list of investor buyers that want to make offers and wait the time needed for the bank to respond!  If you are going after a primary non-investor buyer, explain to them that if they stick around long enough you will get them the best deal on the block!

As an investor, I have shorted homes by 50%, and some banks tell me to go pound sand...it all depends on the market, the house, the homeowners hardship, and your ability to influence the BPO.  My best advice when working with a lender is to be friendly, but stern about the market conditions and the condition of the house. Also, be relentless....if they tell you to get lost, call them the next day like you have never spoken with them before.  I have had Loss Mitigators forget they told me no and the next day approved my short.  Thats because they have 250 files on their desk and don't keep good notes on what they said to who!

Remember, you are your clients trusted adviser and if you do not have the "expertise" you claim to have, don't take on the listing.  Taking a Short Sale class offered by your escrow company does not make you and expert!