@Summer Shelton yes, FHA loans do allow this but make sure you speak with your lender about some of the trip ups from these loans.  

If they can afford to stay, chances are they need to refinance and get the X name off the loan.   

@Chris MagistradoRefinancing could be done in certain countries and situations. 

Curious for other investor's opinions, and what others might do in this situation.

These are the key to getting a loan.  

there was a follow up post where someone got a loan from them but for realistic rates  8% or so and few points.. under 6% private / hard money simply does not exist unless its a family friends type situation. that bank rates or lower right now for new construction or fix flip  

This means sizeable monthly payments, but if utilizing with Value Add you can pay off the loan without a pre payment penalty at any time.Hope this helps!

So the question becomes based on their individual and personal tax situation what is the estimated tax burden they'd save? 

Form 3115 allows you to restore the fairness in this situation and "catch up" with the remaining $30k of depreciation that you failed to take in the years past.

So...Assuming we're considering the advantages for American's to invest in Japan, I personally think it only makes sense in a select few situations.