Shorting 2nd- home equity line?

[Shawn Ho]

Hi there!

Is it possible to short an equity line? Or better yet, can you purchase it from the lender as a note?

I ran into a person in this scenario:

1st- 600K
2nd- 150K equity line

Market Value- 780K

NOD filed in June. One of the person on the loan owns another property which has equity. Does that mean there is no way we can do a short sale?

Thanks for your help!