I've also have done a little learning about SD Accounts too.I think all of what you said is true but you may have to buy it in your own name them transfer to the SD-IRA account name but you must understand that any profit stays in the tax-deferred account to be income tax free and not penalized.   

I explained that my partner would be funding the majority of the down payment, but she said that I can't just accept a transfer of money from her to help fund the down payment.

It's very possible that they determined they did not have legal authority to excercise a contract due to a problem with their transfer from the foreclosure having to be corrected/re-done.I would try to sit tight and make sure the listing agent knows you still want the property.

Why not find another W-2, transfer the 401k there, and have some safety-nets to fall back on?

Can they transfer it or sell it? 

Should I transfer this cash into a business bank account?

At closing the leases and security deposits are transferred to the new owner.

We'll cut to the chase, here's our dirt.The Facts: Ages 51/44, Married, w/10 yr. old childOne steady income 45KOne low income & fluctuating (self employed only 2 years but growing slowly)Living/ renting in NJ (Very expensive market, 2 family units sell over 500K)Fair amount of debt 37K (Car loan, 2 CC, Medical bills)Just getting by each monthCombined 401K's =  150KMy 401 (100K) can be transferred with no penalty to a self directed IRA (I had opened up last year in hopes of using some cash to invest in RE) We are determined to get into REI however we're probably going to need some creative ways to do it with our current situation.

Has anyone used Zelle to accept rental payments? I’m a new landlord and I thought this maybe a easy way to accept the monthly rent. Thoughts?

Some places you can get away with 2% of purchase price all in for closing costs, other places such as where you have a large amount for transfer fees, you could go as high as 10%.