Single Family Active, Pending, and SoldPast 30 Days East Roseville 9566118 New Listings20 Homes Accepted an Offer13 Homes Received Multiple Offers29 Homes SoldPast 30 Days Elk Grove Laguna 9575827 New Listings24 Homes Accepted an Offer15 Homes Received Multiple Offers39 Homes Sold

You really have 3 scenarios that I can imagine assuming they are acceptable with your state's laws. 1.

They had a 4-plex come online and I asked if they would accept financing on it and they said they would.  

Ask them if they would accept an offer?

We accepted the 375k offer but highly doubt this offer would be successful due to the issues as listed above.

In NJ you must accept Section 8 so I believe you should simultaneously pursue lease violations and bring the property to section 8 compliance if you can.

She has now sent me a letter threatening me with a lawsuit or I accept her "reasonable" offer of a 30% reduction in rent.

He knows I would use him when I purchase a home but this market has been tough and while I have offered to compensate him for his time till I find a property he would not accept that and said just use me when you find a home. 

Single Family Active, Pending, and SoldPast 30 Days Folsom49 New Listings55 Homes Accepted an Offer31 Homes Received Multiple Offers77 Homes SoldPast 30 Days El Dorado Hills66 New Listings44 Homes Accepted an Offer22 Homes Received Multiple Offers51 Homes Sold

The OP is currently exploring conventional rehab loans (presumably 203k or similar) which would indicate that he is intending to owner occupy, and therefore hard money loans are likely off the table (as most HMLs are not NMLS licensed and don't make owner occupant loans).That said, to the OP, if you're looking at a conventional rehab loan you're just going to have to accept higher costs, less flexibility, and more red tape.