Hopefully only a couple of weeks till it's up and running.

Still can be done, but you do run some risk of neighbor complaints, etc., more so than in other areas of CO that are more investor-friendly.

Is there any way to get PennyMac to lower the payoff amount, at least to just the principal amount, enough to cover the partial claim, satisfy the mortgage lender and be able to afford to relocate my family (I only need $7,000 to $10,000 to get a vehicle/uhual and move my family, and that includes the new place)?

It is difficult to speculate all that you might run into.

Outside the walls of my home, in the general public, I can't think of a single instance in my half century on the planet where having a firearm would have changed a situation or where I found myself in a situation that I could not walk/run away from to avoid conflict altogether.

We also have our main subcontractor and our driveway guy that would like to rent some space for their vehicles and materials as well. 

@Stuart Udis let's run down the rabbit hole of a "what-if" scenario like you started. 

Do you think your insurance policy will cover you on any liability when they find out you are not running a legal operation?

Cosigners tend to be helicopter parents that meddle too much and then refuse to pay when little Johnny runs up the bill.

This means that you will probably need to pay registration and filing fees in at least 2 states if you don’t buy CA property as a CA resident.Any lawsuits should be limited to the assets of the LLC and not your personal assets (assuming you run the LLC appropriately and the corporate veil is not pierced, some debate as to SMLLC).