If my due diligence period is more formality then I might start right after the PSA is signed.

I would not be afraid of judicial stages, just understand the foreclosure times and costs - speak with and get an attorney lined up in that state.

Kevin Geary Most Foreclosures in Nevada are non judicial, which means they don't go through the courts.

Davenport has a formal transfer agreement with Lansing Community College, and even offers several business and management majors totally online.     

Contract for deed seller financing and lease options let you take the property back without going through a formal foreclosure.If your seller financing is structured as a mortgage or a trust deed, you'll be subject to the same rules as any other lender.

The broker still hasn't written a formal offer- I don't understand this process, I thought I could secure an offer and then shop it.

With no formal agreement, that is not clear at this time.   

Also I would send a formal "default letter" of his responsibility in the lease with request for compliance and answer, by registered mail.  

So it's an REO sale post judicial foreclosure?

Even if it's just an e-mail asking them to agree in writing that they will sign a formal lease and that they want to stay there - once you have that in writing, understand what they are going through and make your expectations reasonable (and considerate) - ask for rent due by the 15th this month.If the family is not planning to live in the apartment and state that in writing, then ask them if they would like help moving her stuff.