I had coffee with some people from the non-profit sector.

Puke.Here's hoping that you make your money back through a profitable investing career.

Also should i buy a cheaper place around 25k which I could pay off much more quickly and start making profit or something around 75k which could potentially rent/ sell for more?

We currently have a great list of properties in our area that are well under valued, with post construction a profit of 35%-45% of overall sales price. price ranges from 15K- 150K purchase price before construction.

I have some interests in real estate and have read that foreclosure is an efficient way to gather up profits.

With that kind of cash you could easily afford to buy into a REIT, or some other profit generating real estate investment, however with that said there is some risk there, you may loose that money.

HE JUSY WANTS TO DEAL WITH ONE PERSON SO IF HE GOES UNDER CONTRACT WITH ME HE WANTS TO SIGN THE DEED TO ME,SO, IT LOOKS LIKE I WOULD HAVE TO HAVE 2 CLOSINGS, WOULD THAT NOT CUT IN TO MY PROFIT?

If you should wind up getting more then you just have more profit. 8)

What I'm trying to find out is whats the most profitable way to go about it with my current situation.

The 30% reduction includes closing costs, carrying costs, utilities and miscellaneous items including the end buyers profit.