@Steven Bond Nice to know you.  

For the extra 150k (850 -300 rehab -400k sell as is ), I think she has room to play and earn 150k more on the flip PLUS experience and portfolio for the next lender/deal, even at potential losses at 50k she still has 100k more than as-is, I say kick them in the teeth and still learn from the experience.

AND, here's the kick in the teeth with your particular situation:  His attorney either knowingly or unknowingly misrepresented the situation when he stated that he'd already gone through all the necessary foreclosure steps, and led you to believe you had to wait four years for insurable title.  

Also make sure any contractors you use are bonded and insured.

Being required by law to fill out a seller's disclosure and then being held liable for the information contained therein would set a dishonest seller's teeth on edge.

$50K would clear the Land we already own and result in a 3.7 Bond issue financing an Assisted Living Facility Grossing over a million a year through haniltoninvestmentschdo.com, our community housing and development organization

If you wait I see the interest rates rising because of the feds eventually pulling back with QE and buying less bonds.

I will definitely seek a real estate agent, but in the past getting them to run comps around here has been like pulling teeth.

I even got copies of the most recent annual termite bond inspections from a termite company to make sure there weren't any weird issues there (one house I called and got it on my own; the other they wouldn't provide without seller's consent, which I also got).  

However, generally speaking, a Writ of Attachment is the "teeth" of a judgment.