Yes you are correct. Since you asked means you are still interested in the property? Was your previous offer ever accepted? Or put in back up position?
I have experienced while doing short sales, that in this market a few of the bigger banks have rejected offers they were currently working with a buyer after an appraisal showed improved values in a particular neighborhood. In one case the bank countered back at $20,000 more what they had once accepted.
For more detailed information specific to this property feel free to call or email.