Basic short sale process question from potential buyer

[Tom Seeley]

This is a totally newbie naive question, but I want to know so I gotta ask!

Let's say I find a home in a broker's webpage that appeals to me.  Let's say the listing says "short sale pending bank approval".  I know roughly what those words mean, and I'm not immediately scared away by them.

Let's say, next, that for the sake of simplifying this hypothetical question, the 1st mortgage is the only lien on the property.

Now let's say that 

• I, the buyer; 
• the seller/occupant/owner (whatever is the right term for someone in this situation), who owes more than he owns; and 
• the bank, who the seller owes $ to; 

all agree on a figure.  I pay that amount.  

What do I get for my money?  I.e., do I get free and unencumbered title to the property?

Thx.

Tom