Short sales and foreclosures have become common due to the recession, but many people still don't understand how they work.

That's according to Amy Cherry Taylor, a Realtor and the managing broker of the Fredericksburg Regional Avery Hess Realtors office.

And she's right, if the overwhelming number of questions submitted during Tuesday's Money Talk$ Web chat is any indication.

Cherry received so many that we had to stop accepting them before the hourlong chat on fredericksburg.com was over, but she was gracious enough to continue answering some of them for another 15 minutes.

Here is an edited version of the Web chat. A complete transcript has been archived on fredericksburg.com.

Can you explain in simple terms what a short sale really is?

A short sale is when an owner cannot sell a home for what is owed on the mortgage. For example, if the owner owes $300,000 on the home but can only sell the home for $225,000 due to the local market, the owner would need to seek third-party approval from the bank to be able to sell.

In this situation, the owner would hire an agent to list the home and market it for fair market value. The owner would then submit the offer to the bank for approval and would only then be able to go to closing. The number of trusts and other liens, such as equity lines, can also affect how long the bank will take.

The whole process typically takes between 30 to 90 days, although it can take longer in certain circumstances.

;">Why are short sales sold as-is? Is there any way you can change that when trying to purchase one?

Short sales are typically sold as-is since the owners are not usually in financial situations where they can afford to make repairs or fix home inspection items. There are some instances where sellers can negotiate, so it is best to ask your agent to speak with the listing agent and find out what the seller's individual situation is and whether or not they are willing to make any repairs.