Why take the chance with some guy that may not follow through and they lose the deal.All that being said, I am sure you can figure out a way to get this done. 

You only get one chance to do this with them and you can make money in RE anytime .

However, while this will speed up the process, the cost of this route will be at your expense Is the property located In Beaman IA by any chance?

Some people take the chance that the bank won’t bother calling the loan due but I have seen it not work out in their favor.  

Doesn't have to be perfect I need to break even at a bare minimum because its short term.If I am 6-10 or longer I am not as concerned regarding some of those numbers.

That means that the seller has to start disclosing any newly found issues to their next buyer.Take your time to negotiate the deal and see if you can come up with a acceptable price for both parties.As @Frank Procopio mentioned, unseen/hidden inspection issues (Septic, Well, structural, plumbing, etc) will offer you the greatest chance to negotiate.

I don’t think I’d want to personally purchase the vacant lot since my contractor advises me that doing a new build would likely result in little to no profit (so, I’d aim to sell it to an established builder or local flipper who stands a better chance of making a profit on it).

What are items one should bare in mind if they do it themselves? 

REOs have a framework, whether auction or direct through the REO agent, that you need to follow to maximize your chances of winning a multiple bid situation and you also have to keep bidding as the bids will get rejected over and over again.

Are people saying they don't/shouldn't get "any" opportunity to a second chance 7-10 years after a crime?