Lets say I die with $200,000 in the bank and right before I die I remember the time I had to go to court to evict one of my tenants..... that would be so sad... 

Since the buyer is not able to get bank financing, you are charging a few % points higher.So your $289k house might sell for 320k at 9.9% for 30 years.

Loan: Bank Statement, $5,500/month PITI.

I know PA has a process to go through before you start a foreclosure, but have never seen a requirement to offer a mod.Sure, https://legal-info.lawyers.com/bankruptcy/foreclosures/delay...Under the Dodd-Frank Act, the bank must first wait until the payment is more than 120 days overdue."

For example is a personal loan from a bank is 7.5 % that you could use as a down payment (after its seasoned), and your 401k loan is 4.5% but the 401k is expected to return 7.5% per year the money you save on one end you miss out on the other end basically and if your 401k returns are 20%, then you lose out significantly. 2.

Go to Solera National Bank or Titan bank, both of them specialize in accounts like this. 

@Penny WilkinsonIf there are no comps, then I would try to ask community banks what they would be able to lend on it.

@Laurens Van swol a few banks that we've worked with in the past allow you to close in your personal name.

That is the best option if you are truly trying to help a family member.you cannot get control of the mortgage, you can do sub2 but you are not in control, the bank could call it due if they see the property transfers title.The other way is for you to buy it from them at market rate, then rent it back to them at market rate.

It is a conventional loan that the bank keeps in their portfolio