This sort of financing might also disappear. 

@Timothy Walker  I would get her debt sorted out and invest in a rental property. 

I am in Engineer full-time and very handy, thinking of starting a contracting business of some sort in Kansas to start income and networking.

One bank is looking at appraising the value without the single wide so that might be an option. what sort of terms does a line of credit like that have? 

Unless you provide them with money or something else of some sort.

Does anyone have any experience with this sort of loan?

I have not heard of any, but like you, I am interested in that sort of a set up.

If you're already working with an agent, they should pretty easily be able to sort by size, and be able to recommend a few good locations for investing.

I continue to see and hear about folks looking for some sort of government mandate in order to get mortgage relief help.  

For quality, owner occupant single family residences (the sort of thing most investors wouldn't be very interested in because there's no cash flow) in decent areas, demand remains very high.