Another option is an unsecured personal loan, First Republic has the highest loan amounts and lowest rates I've seen but they have clauses that the funds can't be used for investment purposes or major construction projects so you should read the terms carefully and discuss your intentions with the banker to make sure its permissible. 

But her daughter E moved in with him without our permission.

And, since you gave him permission to use your address, it isn't an illegal act in itself. 

Seller further gives Buyer permission to market for sale Property and/or Purchase and Sale Agreement privately and/or publicly upon executed Agreement and prior to the Closing as set forth herein.

This was purchased by her, but is asking for my permission to allow it being used. 

It is basically an effort to prevent the tenant from subletting the unit without consequence or permission.  

Was your agent acting as a property manager or did your agent forge your signature - with or without your permission?

At this time I don't know if they have permission to be there but from talking to the neighbors do not think so.

My take on this is that I would inform the bank and get a written statement from them that they give permission for the transaction.From what I have read, and from talking to an attorney, banks would rather have a performing loan than an REO.

I understand your concern, right now the banks don't care, but if interest rates start going up a lot I could see the banksters looking for wraps and ownership transfers to accelerate loans and force them to refinance into higher rates, so get permission in writing.