The VA calls these compromise sales and would have required you to obtain approval before going through the Short Sale process.
In these cases, the proceeds from the sale would have been used towards what your owed your loan servicer Since in a short sale, this is usually less than what you owe, the VA would have paid the difference (up to the guarantee) to the servicer.
"Should VA agree to pay the difference between the sales proceeds and the total debt to complete the compromise sale process, the portion of thehomeowner’s entitlement used to guaranty this loan will remain tied up until VA is reimbursed in full."
The Realtor would have been entitled to their commission per the contract you signed. I can think of no scenario where a Realtor would pay the VA anything.
DSTEXAS, Thanks for answering Doc B1.
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