[quote=cv2]I assume that their reserve is depleted right now and there are many delayed repairs that needs to be addressed now and in the near future. For instance, copper plumbing alone will cost about $5K/unit.

I totally agree with you that foreclosures in these type situations are a blessing in disguise to let people with financial means to fix it up. However, I do not see how investor will profit from this at the current market value of $70K and $90K.[/quote]
Not to be dense but why would you ever rehab the plumbing (unless there was an active, unit-specific, leak) in a condo?

Either, the buyer is living there (which means most relevant plumbing is common interest) or its a rental (which would turn this into a cash flow question, and still the pipes are mostly common interest).