There is an optional $20/mo optional eviction coverage, stating that in the case of an eviction, the PM will pay all associated lawyer and court costs.

I talked to an attorney and he said the contract is a landmine and the courts will favor the homestead buyers. 

All contracts, options, or other devices not based upon a substantial consideration, or that are otherwise employed to permit an unlicensed person to sell, lease, or let real estate, the beneficial title to which has not, in good faith, passed to such party for a substantial consideration, are hereby declared void and ineffective in all cases, suits, or proceedings had or taken under this chapter; however, this section shall not apply to irrevocable gifts, to unconditional contracts to purchase, or to options based upon a substantial consideration actually paid and not subject to any agreements to return or right of return reserved.

Also look at your local court records site and see if you can get records of recent evictions. 

Judgement was entirely a scam, it was a 10 year old credit card debt I paid through a consolidation firm that never paid it, I thought it was paid, got sued and judge was angry with me for using a cell phone for phone court but no one ever told me to use a landline only, he was angry and just gave $26,000 to plaintiff. 

This is at the heart of what William said above about entering into a contract in bad faith - i.e. with no intention, nor ability to execute the contract yourself.Best case, you loose your deposit and tarnish your reputation.Worst case, the Vendor takes you to court to compel performance under the contract. 

We are approaching our supposed closing date of Feb 11th 2018.Then we learned the seller is going through divorce procedure ( we did not know about this) and there's a court order saying the wife can stay 30 addl days after closing.

I declared this property by the deadline and have transferred money down (thru a 1031 intermediary).

You can pass it off to the contractor in the contract, but at the end of the day if there is a run in with the city, you will be standing in court along side of him or her.

I'd like to just declare it as 'real estate'.