forclosure, short sale, or dil

back and forth with chase bank over a year to get a modification. after sending them my current income last week and not hearing back from them, I received a document from the court telling me that my house will go to auction on June 18!! Chase, a nightmare of incompetance and misinformation. I called chase to tell them about the sale date from court and was told that I was turned down for the modification. I still have not received any notification from chase about my denial other than being told when I called them. I owe $233,000 on the mortgage. Houses in the neighborhood are selling for about $80,000. It is a second home. I'm in deep you know what. So, foreclosure, short sale, or dil?