@Ben Oestrike   Since you've noted this would be a PA Sheriff Sale situation and with my limited experience and @Jay Hinrichs very extensive experience, we've both noted an experienced lender is very unlikely to provide funds for a purchase.   

Most simply don't have it and or also have very limited sales and closings skills ..

sales commish  loan fees on new loans etc etc.. seems knee jerk to me.. but hey I am not finding those issues with Vegas LOW property taxs some of hte lowest in the country and unlike FLA and TX very low insurance because limited to know real issues with bad @$$ storms like those other states. 

Work with a broker who has access to a large variety is going to help you find an appropriate option for your situation vs a direct lender who can only sell you their limited product set. 

When you refinance a property as an owner occupied property, you are signing a new 12 month occupancy clause which means you need to live in the home as your primary residence for 12 months after you do the refi.Rates are on a downward trend and likely will continue to do so for the next 12 months so you may have time to refinance your loan in the next year or two into a fixed rate while you are still living in the property so if you planned on living in the home for 3 years, you could wait 2 years for rates to drop and then refi as owner occupied into a new 30 year fixed rate.Alternatively, you could get into a fixed rate now at at 5.875% on a 30 year fixed rate if you qualify for the "HomeReady" program (HomeReady is an income limited program that gives buyers a fantastic rate).

In San Diego county, this is limited to the city of San Diego.   

I have a few case studies on my site (and YT) that you should check out.

Case Study: Cost Segregation Study on a 6-Unit Apartment Building Overview: A 6-unit apartment building placed in service in July 2021 underwent a cost segregation study, significantly enhancing the property owner’s tax benefits.

It is not a problem.There are different remedies, including soaker hoses and other remediation items, to limit soil impaction, but piers and leveling are common. 

I even have seen lenders recently with a 0% down loan that was not limited to first time home buyers.