Upon picking up the blue pin, it turned into a black pin. Meaning I had 2 black pins and was unable to finish chapter 1/

I have run through this twice so far on Co-op. As Xander I cannot pick up the key dropped by carlos's ghost, it just floats mid air. I don't know if it is related or not, but my objectives also doesn't update after I find and open the old chest in the basement. I cannot progress( presumable to leave the house) to the end of the game. I will publish pictures to the game page of said key....