I see below you stated you attorney advised against you doing a short sale? Just curious as to why?
Many times you can get cash for key and they will give you money for your moving expenses. You can also get them to give you a written release for the deficiency. Both of these are very common if you are living in the property as your primary residence.
Your attorney may know something about your scenario that I don't and maybe that is why he/she is advising as he/she is. However, you may want to get a second opinion on the legal advise he/she is giving you.
If you do decide to do a short sale I would be more than happy to assist you with the entire process. A short sale can be completed at NO COST to the seller. We have professional negotiators that can negotiate on your behalf and all of the commissions and fees get paid for by your lender. I would be leery of any company that charges you or your buyer a fee for these negotiations. We understand you are in a hardship and we want to help.
Licensed Real Estate Broker NV, MA, and RI
If you are in BK, this is a good question for your attorney who is familiar with your entire situation. If I understand however, at the auction, if no one bids on the unit, the bank takes ownership. At some later date, after you're gone they will list it for sale.
Have you considered a short sale? This could preserve some benefits for you and may allow you to forestall the foreclosure. Again, your attorney should be consulted before you make any decisions.