Complaint Review: Kendall Homes

My fiance and I began searching for homes in January and found a home we fell in love with. The Kendall Homes office in the neighborhood has signage stating guaranteed approval and lease to purchase!  My credit is rather weak but she was approved for financing and we were moved in before closing. A year long lease to purchase contract (which now doesn't exist according to Ken Wickens) was signed to get us into the house until closing and we put about $4200.00 down which was to go to FNB for our portion of closing fees and Kendall was to pay the remainder according to Tom Wilson, who is the sales person for the subdivision.
4 months after moving in we were advised that the loan was not approved. My fiance was called over the phone and pressured into another lease which was a 3 month lease set to expire August 31, 2012. She was advised that her credit score was not high enough and if she signed up for a credit repair service the lease would be renewed every 3 months until her credit was good enough to purchase the home. So she did, we have 3 kids that go to school 1/2 a mile away and we are going to any and all that we can to stay here! The lease to purchase option was brought up, seeing as her credit was border line and it shouldn't take long to get it were it needs to be, and we were told that option takes control away from Kendall Homes because they can't be guranteed that the leasee is going to be approved. The guranteed approval signage was questioned and we were told nothing is guaranteed. We had filed a complaint with BBB and the attorney generals office for deceptive trade practices.
Well, if I remember correctly it was August 10th, we recieve a letter in the mail advising that FNB had foreclosed on the property! So now we reside in a home that we were approved for, then we weren't and now its been foreclosed on. We started making some phone calls to Kendall homes in an attempt to get our money that we had put down back. We feel that if the contract was terminated prematurely by the home being foreclosed on, then Kendall defaulted and we should get our money back.
A week or two went by without a reply phone call from Kendall Homes, so we made a trip to FNB. We discussed our situation and to our surprise the bank was not aware of alot of what we had been told (seeing as Tom Wilson advised my fiance to go through him in regards to the bank) nor were they aware of the money we had put down. FNB had informed us that the original approval was denied due to extra money required at closing! We had no idea, after all Kendall was supposed to cover that additional cost. If anything we could have been told that extra money was required and given the option to either come up with the extra closing cost or back out and move on. FNB has been nothing but honest and upfont, they even offered to post listing our house via a realator for as long as possible in order for us to obtain the money we had put down and attempt to bid for our "home" in the foreclosure process. FNB advised as long as the $1050 is paid monthly we can reside there until it is sold.
Glenn from Kendall called and advised that we were not going to be refunded any of the money we had put down, it would be considered as rent payments to Kendall. Ken Wickens of Kendall replied to the BBB complaint and stated that the 1 year lease was never signed, my fiance had enough time to get her credit were it should be (it takes at least 90-120 days and she started in June when the approval was denied) and that FNB denied her loan ( the Kendall Homes salesman denied the loan because of the extra closing cost) and it was FNB forcing us out not Kendall (FNB is working with us the best they can).
We are still in the house from day to day, waiting to come home and see a realtor sign in the yard! We cant afford another place as of yet because we havent had a chance to recover our $4200. I see another complaint has been filed here and I would really like to get with others that this has happened to! If there is any way that can happen it would be appreciated