@Precious Thompson I’ve never heard that term specifically, but the property is being used for something it’s not allowed/zones to be used for.

I have read lots about a property needing to be 5 units for the banks to view them as a commercial operation, but this is always referring to the States, but I don't know if this applies to Canada, specifically BC. 

I see that you specifically mention "sale of the property" which would make a reasonable situation.

It seems almost certain they knew something about the title problems, because as I mentioned, they had very specific carve outs and odd exceptions to the normal buyer requirement of clear title, which were not standard to their usual boilerplate contract. 

But I’m looking for some specifics......I agree though, if they don’t take pride in the aesthetics of the property then that’s a major red flag!

This is specifically why it is a Short Sale and not a Standard Sale.

Yes banks negotiate foreclosures all the time, the specifics of how much are market dependent.

Specific notices and procedures are required to file a legit lien in FL.  

We now only let our "qualified" buyers know the address so that they have to have specific information provided and verified by us.

Feel free to PM me if you have any specific questions.