We moved from XXXX to XXXX for better jobs and higher education. Our house in XXXX was listed for sale. The mortgagor is Citi Mortgage. 
The house has still not sold, and we can not afford our living expenses plus a mortgage payment, so we began an application with Citi for short sale or DIL. We spent months submitting every scrap of documentation they requested. We received confirmation that our application was complete, and that a decision would be forthcoming. 
On XXXX XXXX, we received an email informing us that the house was sold in the sheriff 's auction on XXXX XXXX. 
The next day, XXXX XXXX, we received a letter in the mail from Citi stating that they had rejected our application for short sale due to our failure to submit certain documents. ( We submitted every document they asked for. ) Now, our house has been foreclosed, our credit is destroyed, and we have no opportunity to pursue a short sale because Citi sold the house *on the same day* that they rejected our application. 
A Citi employee finally revealed to me on the evening of XXXX XXXX that their negotiator had arrived at a price of {$110000.00} to satisfy a short sale of the house, which has a balance owing of around {$110000.00}. We were never informed of this. 
During the time we were waiting for Citi 's approval, the house was listed at {$120000.00}, and we received an offer of {$110000.00}. Being completely unaware of the negotiatior 's figure, we counter-offered {$120000.00} and the counter was not accepted. Had we known that a sale price of {$110000.00} would have met the bank 's requirement, we would have countered with that amount and possibly have gotten an acceptance from the prospective buyer. 
We feel that Citi rushed to foreclose on our house when our application for short sale was already completed, using the excuse of " missing paperwork '' to justify their actions. We were misled, intentionally. 
