Buyer paying most or all closing costs is common in this stage, and there's a plain reason: the seller has no cash. Someone eight months behind on a mortgage can't bring 4,000 to the table for title and recording, so if the deal is going to close, the buyer covers it. Buyer choosing the title or escrow company is also common, though in some states closings run through an attorney rather than a title company, so what's even on the table differs by state.
The 45-day exclusivity clause is the one to look hard at. On a file with a fixed auction date, tying an owner up for 45 days can consume most of their remaining window, and if the buyer then walks, the owner has lost their chance to sell to anyone else. That pattern is exactly what foreclosure rescue statutes in a number of states were written to address, and several of those statutes require specific disclosures and a cancellation right for the homeowner. Whether that clause is enforceable, or even lawful, where the property sits is a question for an attorney licensed in that state.
On representation: nothing requires the owner to have their own attorney, and plenty of these deals close without one. An investor who wants a clean, defensible file encourages it anyway, because a signed deed from an unrepresented distressed seller is the transaction most likely to be challenged later. The cost of the owner's attorney is small against the cost of unwinding a sale.
