FHA PFS approved by Suntrust - buyer has money out of pocket and suddenly they say short sale closed

Negotiator said buyer should proceed with inspections and requested closing date addendum to close Nov 16th. Oct 9th said she would review the file in 5-7 business days for audit. On Oct 15th, emailed negotiator that home inspection complete and all inspection contingencies released and requested status on her end.  Sent email Oct 17 and 18 still no response, so I called the Loss Mitigation contact to get a status and they said they no longer had the short sale open.  I asked to speak to the supervisor and forwarded all email communication per his request.  He said he has passed those on to the short sale management team and I am waiting for a decision as to whether they will proceed with this file.  I need to know eveything I should do because there is no reason this EVER should have been closed.  The buyer has paid for home inspection and appraisal.  We met the terms of the short sale pre-approval by obtaining a signed contract prior to Oct 8th - the contract was sent in on Sept 15th.  I need help asap!! 

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Send your authorization to HUD then call them to discuss your issue. You can email your autho to [email protected] In a day or two, they will have it and speak with you 877-622-8525, hopefully to let suntrust know that you and they are not happy with arbitrary closures - assuming you get HUD on your side, of course.

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