I was wondering what it will say on the credit report after we short sale our house. We have not payed on either the first mortgage (Chase) or the second mortgage (Regions heloc) in over a year. Currently, the first shows as in pre-foreclosure. The heloc shows a charged-off balance of about $200,000. Though charged-off, it is still owned by the Regions bank. Provided the sale goes through, the first mortgage is waiving the small deficit. Regions, however, will make us sign a promissory note for 50% of the balance ($100,000) to be paid over 30 years.