Sorry to hear about your situation. Who exactly was it sold to? Another buyer or the bank. If it went to the bank, the short sale was denied or not conpleted. If it was sold to another buyer you should have been issued a denial letter or counter from the bank before they moved to the next buyer. Either way it sounds like your agent did not explain the process to you in detail. Please let me know if you have any questions on how the process works and I can walk you through it.
Your question indicates that you may not be getting good professional advice. A short sale isn't owned by the bank. Short sales happen before foreclosure, but require lender approval.. After foreclosure, the bank owns the home and can sell it to whom they please.
If, and I am just guessing because you didn't give much detail, you had a contract on a Short Sale, and the bank went ahead and foreclosed, your contract would be voided and you would get your Earnest Money back, but you would not be reimbursed for the other expenses.
Buying any home, and especially a short sale or REO (bank owned) property, has many traps for the unwary or uneducated. Since the fees for a Buyer's Representative are paid by the Listing Agent out of their selling commission, it doesn't cost you a dime extra to get a good agent to represent you. By now, you know that not all agents are equal, so interview carefully. You might be helped by my blog article: http://www.trulia.com/blog/ellen_doc_stephens_realtors/2010/
Doc Stephens, REALTOR®
I hope it works out for you!
Berkshire West Realty
I received the phone call late yesterday from my real estate agent so, I'm still trying to clear the exact details on what happen.
(If it fails ,I Will be Looking again in the Tuscany Hills, Canyon Hills, Rosetta Canyon,AlberHill Ranch Area Again)
I'm sorry this has happened to you and it certainly does sound strange. I recommend you have your agent find out what is going on and how this happened, and then speak to an attorney.
Are you sure it wasn't a short sale that ended up being foreclosed on and is now owned by the bank? That happens sometimes during the short sale process and is very upsetting.
At the very least your agent should be able to explain what happened, please talk with him/her.
All my best,