NP second that appears to have gone through a short sale?

[Sandy Uhlmann]

I was surfing some of the note exchange sites and I came across a NP second that interested me because of its geography. It is a NP second with a UPB of around $33,000 rate of 11.6% with last pay date of 2009 that was selling for $1,665.

Without submitting an indicative offer, I did not have any info on the status of the first. I was playing around surfing Zillow and other sites to find out general information/estimated FMV of the house. I noticed on one of the RE listings, the house was being sold as a short sale. I spoke to a Realtor today who confirmed that yes, the house had indeed sold as a short sale sometime earlier in the year.

My question is how can this note be valid if a short sale was completed?  Would the short sale either wiped out the note or the note owner received some money to agree to the short sale in order to clear the title?  (In this case the note would no longer be valid?)

Thanks in advance to any insight.

Sandy