Loan Mod, Pre-Foreclosure, Probate and Possible TItle Issues

[Vanessa Blais]

Her'es the skinny: 

Step-mother and Step-Daughter bought the house, and got the mortgage together. 
A few years ago, set-daughter's name was removed from the deed, but remained on the mortgage.
Step-mother had a few loan mods, then went into default and stayed there for 2 years.
Step-mother passed away in April, left a will leaving everything to step-daughter.  (* I have seen the will and this is accurate.) 
I saw the last letter from the mortgage company yesterday and she is $24K in arrears and the total owed on the mortgage (with the back payments) is $50K.
I estimate the house to need approximately $20,000 in rehab costs. 
There's obviously money to be made in this deal, but... 

I haven't done an estate deal with a will involved in over 15 years and I can't recall how I would write this contract as the step-daughter, at this precise moment, has no legal right to enter into a contract for sale as she is not listed on the deed as an 'owner.' 

Does anyone have any guidance for me on how I should write this contract up?  

Thanks in advance for your help. 

Vanesssa