Unfortunately, short sales sometimes take a long time and communications break down through the process. We have participated in MANY short sales as listing agents and as buyers' agents, and we have found that persistance throughout the process is crucial to keeping the process going. It also helps to work with an agent who is a short sale specialist. I hold the CDPE (Certified Distressed Property Expert) designation as well as the SFR (Short Sale & Foreclosure Resource) designation to better serve our clients.
You definitely don't have approval until you have received something in writing, but many times they indicate verbally that approval has been obtained, but it takes a while before the written approval appears.
If you didn't extend the time period for approval of your short sale offer in writing, you have no obligation to go through with the short sale. However, 30 days is usually not enough time to get an answer from a lender or lenders regarding short sale approval. You should have advised the agent who made the short sale offer for you that you were no longer interested and decided to work with another agent as well.
Unfortunately, there was a lack of communicationby many parties, and it sounds as if it has all turned into a very big misunderstanding.
Hopefully, the written approval for the short sale will arrive soon, and you get a chance to purchase a property.
Mary Kay & Kathy