I am a Business Process Architect at Commerce Bank, who is looking to start building wealth and retire early to spend more time with my family and friends without stressing about work anymore.  

@Chris Prefontaine Can you explain the risk to me? 

Few options:  Non-bank lenders like Lima One and Visio usually do loans based on the performance on the property.  

I've been trying to research raw land loans and from the (granted few) banks I've spoken to, they will not loan on raw land-they recommend getting a personal loan out at a ridiculous rate 10-15% interest (they didn't run my credit, it was just an estimate for a personal loan, but I have very good credit-around 760 I believe), to cover the land and then refinance to a construction loan once there is a well and septic as I understand...So was wondering what other options I had as far as financing and what others have used?  

It's a bank-owned property that needs new carpeting, paint and a good cleaning.

A little about me...Bought my first bank owned foreclosure about a year ago and renovated it myself from top to bottom.

My first thought is how to find the small banks or credit unions and how to go about the conversation? 

I would do a bank loan with 10% down and 5.5% interest.

This is essentially what banks do.  

It looks like they have failed to make payments since April (we have been paying rent on time, auto-withdrawn from bank account).Ideally:  I'd like to have the loan/trustee waive all fees and interest, potentially lower the asking price ($10,000 discount on a $160,000 outstanding balance of a home that would likely appraise for $185,000) and we'd immediately go through the purchase process as is.Do I need to bring the Trustee into the discussion with the owner at the same time to make this deal go through?