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English definition of “short sale”

short sale

noun [C]
 
 
STOCK MARKET an occasion when someone sells shares that they have borrowed hoping that their price will fall before they have to replace them so that they make a profit: The Fund may make short sales in an attempt to protect against market declines.
PROPERTY an occasion when a house is sold for less than the value of its mortgage: A homeowner involved in a short sale will see an 80- to 100-point drop on his or her credit score.
(Definition of short sale from the Cambridge Business English Dictionary © Cambridge University Press)
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