Depending on the situation, you can get the house for under $160K. Don't hesitate to call and talk to everyone you can find involved with the title of the property. If you get the right person, you can work out an awesome deal. Otherwise, you are just putting yourself out there to be taken advantage of.
You can deal with the broker, the agent, a lawyer, and banker, CR, your friends, or yourself. I wouldn't rely on anyone's advice, including mine, and start making calls until you find the one person who is willing to give you the deal you want. If they don't want to work with you, hang up and call someone else.
Any business is about working with people. You just have to get a hold of the right one to give you what you want. If this deal isn't as sweet as you want, wait, there will be many more.