HELP! Ex-sheriff's sale home

Thanks for taking the time to look at this message, and thanks in
advance for those who offer advice.

I am interested in a home in Pennsylvania that was recently sold in a
Sheriff's auction.  It is a 13 year old colonial style with 2824
square feet of space on a 1.4 acre lot.  It has been sitting vacant
for 2 and a half years, and the yard has taken on the look of a
jungle.  The exterior of the home needs a lot of cosmetic work done,
but from general observation the structure and interior appear okay.

The mortgage company bought it back from the lender they foreclosed on
at the Sheriff's sale for $1200.  A realtor is now brokering the
property for the mortgage company and the asking price is $285,000.

I have no experience with this sort of thing, and was wondering what
process I should follow to try and acquire the property.  It seems to
me that the mortgage company is trying to get as much out of the
property as they can, but I see the potential to get a nice
fixer-upper and a decent amount of land in a great neighborhood
(neighboring houses are going for $285,000 and up in good condition)
for a bargain price.

My biggest concerns are:

1.  What steps should I take in researching the property?  Should I
hire a real estate lawyer to do a title search, or should I get a
'buyer's agent' realtor to work that for me?  When should I approach
the realtor who is representing the property?

2.  Will a home inspector be able to do a proper inspection if the
water, power and natural gas have been off for such an extended period
of time?  If not, is it possible to have the realtor representing the
property get his client to turn the utilities back on so a proper
inspection can be done?

3.  How do I find out what a fair price for the property would be?  I
know it isn't worth $285,000 in the condition it is in, so how to I
come up with a figure on a property like this?

4.  Any other pitfalls for this type of a deal that can save me from
heart ache and an empty wallet later on down the road would be much
appreciated.

Thanks in advance -

Mike