Would she have a problem obtaining conventional financing for a second home that would be her primary residence?

I'm seeking a consistent cash flow for a five year period; a goal of $2k per month the first year, expecting to be at $10k by year 5, therefore, it is my understanding to seek properties that are positioned for rapid appreciation to best meet my goals.Yes, I would prefer to leverage our investment dollars by obtaining a loan.  65% - 75% LTV seems to be the standard with conventional lenders. 

Once you obtain that, then you have a guarantee that the prior owner won't file for redemption.  

Is this process of obtaining properties common?

This thread should give you an answer to several of your questions, @Vonetta Booker, including how to meet and vet borrowers, obtaining legal documents, and protecting yourself from getting ripped off.Some of your other questions are regional, such as points and interest rates.

That really matters, both to the ARV and to the likelihood of obtaining financing.

If not just get a renovation plan together with your construction team and go to the Building Dept. in the town the house is in and tell the building/code official of your desire to renovate the home to a safe and livable condition and obtain the building permit applications to start the project once you close.Fannie Mae for me has allowed 7 day inspections although they have never renegotiated a price.

Hi BP, I found a dilapidated property (I think there are squatters living there) in Manhattan with a tax lien certificate bought by Bank of America several years ago.

So significant savings there.2) no appraisal3) no termite certificate or other fees.4) Lender's title policy.  

We never want to be caught with the wrong date postmarked on the envelope, so we prefer to go to the counter and we go the extra mile by getting a "Certificate of Mailing" that proves the date the item was mailed.