Let's face it. There are fairy tales and then there's reality.
Currently, the reality for homeowners facing distressed situations (divorce, layoffs, down-sizing, etc.) is that they are having NO CHOICE but two choose the better of two evils: loan modification or short sale?
As the video below discusses, folks often have to bear unbearable stress for up to TWO YEARS in order to get a simple loan modification. For some folks, I would think selling the property via short sale in THREE MONTHS - and moving on to "PLAN B" - might be a more attractive alternative.
I try to do my best to educate my clients about all their options and then help them do what's best for them!