sounds like you have a great opportunity. i recommend the contact for deed route. as you mentioned you can get a lower down and more flexible terms. if you can get a 10-12 year ballon payment you should have no problem refi'ing out prior to that with a conventional loan and pay off owner contract. i would try to get the per unit down. you could try to show the total amount you would be paying when you add interest into the equation and see if he will come down on asking price, at least to market if not below. as well as play up the continued cash for with zero management headaches. ultimately if it cashflows well and you have good fixed debt for 10 plus years my experiences has been that price per unit is less of a factor. cash flow is king.

Reach out to connect to him or PM me and I'll pass his contact info along to you. 

Before you make an offer, contact your title agent partner to run a search in advance to find out what all my be going on internally with the seller and the property.  

What is the next step / who should I contact about this?

Wrote up an offer and proof of funds, and tried contacting the listing agent. 

Do you still contact the "owner" of the foreclosed home when trying to buy it?

I contacted the association and they would not give me any info (it was worth a try).

I have tried lists from REWW / Realeflow / Datazapp to try and contact motivated sellers, but the vast majority of these prospects have no interest in selling their property or want too much.

And they should have here a contact for support.

I have been in contact with a Real Estate Agent in the city of Philadelphia about what I am trying to get in terms of property.