That may be the most practical resolution but if they stopped paying interest they may be struggling with liquidity. 

Hi Everyone,I've been saving up and now have over $150k in liquid funds.

It secures the loan with equity from the current portfolio, so providing liquidity for the down payment.

I've got $1M in equity tied up in a rental property that I will sell around June '25 to generate liquid capital . 

You will need significant liquid funds though for down payment, closing costs, and reserves. 

i don't think that's the case right now.I think turnkey is a good option if you have significant liquid capital, want to buy in a solid market in a solid area, couldn't care less about cash flow for 10+ years and are even willing to be negative, and are willing to pay for repairs and capex without batting an eye. 

Nexus Capital will serve as the stalking-horse bidder, acquiring most of Big Lots' assets and operations.The company, known for selling home goods through closeouts and liquidations, secured $707.5 million in financing to support operations during the bankruptcy process.

A key principal/sponsor is somebody that has the net worth, liquidity, and experience to qualify for a loan. 

If it helps, 800 credit score and theoretically could build for cash...but cash is earning more and doesnt want to tie up the liquidity.

@Marcus GriffinOption 1 offers a lower monthly payment and lower interest rate for a subject-to property loan, but requires a $14k upfront payment, potentially affecting liquidity for property improvements or investments.