Hi Sjs. An interesting dilemma you have here. Middle income could be considered anywhere from $50K to about $120K in Manhattan. That's not a statistic but learned conjecture. I might also suggest you don't dwell on the forclosure dream as it is not particularly a best option for availability, price or condition. Since we don't know what your income is or your price range, it's difficult to give you better advise in that regard.
As previously stated, you certainly should get yourself pre-approved (not pre-qualified) so, go to your Bank with two years fed tax returns, they'll know your bank balances (assets) and bring any other proof of assets (401k, IRA, stocks, bonds). Have your Bank run a credit check unlessyou have a current one with a FICO score. Now you have the required elements of preparing to purchase, Proof of income and assets, Letter of pre-A and a credit check with FICO score. Be aware that your DTI (debt to income) should be no more than 28%. That is to say your combined monthly debt should be no more tha 28% of your gross income. Now you are ready to find the right place.
If it's a Coop, you'll need to know how much downpayment the Coop board will require. Most likely it would be at least 20%. If you are flexible for specifc location, you would find some well priced Coops uptown. Certainly better priced that most anything below 110th Street.
Hopefully, you've found something by now. Whatever you decide, I wish you the best.... more