I am all done with the 1st on a short sale amount with Aurora. The 2nd is with Homecomings and they are tough. I have a balance owed on the 2nd of $168,000. The 1st is allowing $8000 max! Homecomings is wanting $16,000. The 1st is locked at $8000. Ant suggestions?

If the 2nd was a refi, I would strongly suggest to the homeowner that they pay the $8k out of pocket and ask Homecomings to give up any right of recourse against them in return.
If the 2nd was purchase money (used to by the home originally), they I’d remind homecomings that they will be wiped out if your sellers walk away, with no right to come after them for the balance - then I’d give them a deadline to accept the $8k.
That’s my two cents, but let me say that a) I’m not an attorney, b) as their agent you want to be careful about giving legal advice yourself (ie don’t) and c) I know very little about the overall situation from just your 6 sentances above. You may want to suggest they have an attorney review the deal before proceeding with either suggestion above.