In 2006 I made a private loan of $100,000 dollars for a period of three years with a 9% rate of return. I secured it through the borrowers life insurance policy, in case of death, and placed a lien on his property which at the time had existing equity. My borrower recently lost his insurance and real estate business and has not made payment on this note since july 2008. I received correspondence informing me that his home is going to forclose. I spoke to borrower who claims that he is NOT able to shortsale his home to avoid forclosure unless I remove the lien from title of property. Is this true? Borrower is upside down in value of home. ISN'T THE LIEN REALLY ON HIM AND NOT THE PROPERTY?