Inspectors use XRF machines which use radiation to detect lead paint through multiple layers of paint without having to damage any surfaces. 

@Adam Mittermeier  On the surface this just doesn't sound like a deal. 

Unfortunately I moved forward before the negative info surfaced.

When a target property surfaces, be prepared to act on it within HOURS not days.Be prepared to show a solid proof of funds (not a print-it-yourself POF from a hard money site) and to submit a reasonable offer (most likely 97%+ of asking price).And if you have a good agent, you'll get that property under contract and start you due diligence. 

Shockingly for Massachusetts, the new laws are actually less stringent in terms of surfaces that need to be deleaded in a home. 

. ;-)For the fire evacuations, the surface roads to get out were more impacted than the freeways. 

Usually the payoff from lender will provide an itemization of HOA (if applicable), PITI, Attorney Fees, and all other fees that will drive up that debt.Is the title still in seller's name, if not, it will have to be reinstated in seller's name.This is but a fraction of what you will have to deal with when dealing with preforclosures.On the surface, it sounds promising, but there has to be more time, so the clock will have to be stopped by a TRO or Bankruptcy or even a possible contract from buyer.Could you pay what is in arrears and try and modify the loan?

Closing with a known issue would likely bar a title insurance claim once the issue surfaced and regardless, this is a title problem that as a buyer you definitely want resolved.There are a few ways to resolve this including a corrective or confirmatory or other deed but they all will require full disclosure to the title company/insurer and some corrective action or affirmative coverage for the issue.

Deal or no deal on a surface level?

This may sound on the surface as if they are being shifty, but I don't think that's the case.