Here is Fannie:Permissible Exceptions to Continuity of ObligationAlthough the following refinance transactions do not meet the definition of continuity of obligation, the new refinance transaction will be eligible and not bound by the limited eligibility parameters described below if any of the following are applicable: The borrower on the new refinance transaction was added to title 24 months or more prior to the disbursement date of the new refinance transaction.The lender documents that the borrower acquired the property through an inheritance or was legally awarded the property (for example, divorce, separation, or dissolution of a domestic partnership).

Our preferred amount is $100k but will look at all down to around $60k for the right, experienced borrower.

We had a friend who borrowed from another friend to purchase & rehab a trashed REO a few years ago.  

Get the borrower to re-perform.

Almost all of that money was borrowed from investors.Today, my situation is reversed and I am the investor in a number of communities while someone else runs the operation. 

We would probably need to borrow money for the repairs.

Are they borrowing?  

I've borrowed money from a hard money loan, and have had to pay double closing cost each time.

I need a project manager on the ground there to help me get it cleaned out, get some repair estimates and get it sold to an owner-financed borrower.

If there is a redemption period for the borrower following the foreclosure that Supposedly has already occurred, then you simply buy it (she assigns you her redemption rights) for the balance due....that's what a Right Of Redemption for the owner is.