Biggest barrier to entry and the reason many people may become interested but will NEVER buy at a trustee or judicial sale foreclosure auction = CASH.

This includes if the seller is retaining a direct or indirect ownership or possessory interest in theproperty, and/or have a formal or informal option to obtain such as interest in the future."

And you'll have this worry about the loan getting paid and possibly getting called.If the seller doesn't want to do this formally, that is, with title insurance and a title company, don't walk, RUN away.

They usually work outside the formal system of the MLS and brokers.

Until that formal lease is executed everything can change.

If it's off market sale and been on market for a while, then yes hire a contractor and give a formal estimate, seller might bite.1940 it might be knob and tube electrical and plaster instead of drywall both will cost more to fix.

On top of that, I originally went to give a formal letter stating change of ownership, and to collect rent.

Make sure you document everything well - particularly complaints from other people, get a copy of the police report on the gas incident, make a formal record of his behavior and try to get it on film.  

I do not have a 'formal' coaching program of any kind.

Oh, and that quit claim deed you get to hold, wait till your buyer has his attorney nail you for an unlawful foreclosure circumventing foreclosure laws.......what, no security agreement allowing a non-judicial foreclosure.....you might get to go the judicial route after all!