I have a responsibility to the financial institution.

& @Nicole Heasley, FACo is a very large private institutional lender.

Is there a benefit to using a local institution vs and Online institution?

They want $5K certified check up front to close on her house she is already living in.I can't get past the point that her own lending institution is charging her $5K up front for closing when closing is nothing more than telling their computer system to drop her rate a smidgen. 

Institutional mortgagees typically don't mess up on this for normal foreclosures.On final note, the law on this topic can change pretty drastically depending on the state and the federal circuit.

My cousin is a midlevel manager for one of the larger institutional players and consults large big companies - he lost a beer to me in a bet as he did not believe it could be done!

Insurance institute recommends original pine-sol after a flood.

I have never owned or dealt with real estate during the 2008 crash.My question is: Will the lending institutions close their doors on all lending programs or most lending programs during such a time and make it difficult for me to re-position the property (even if the deal was looking great from a lending perspective)?

Account Closed is correct buyers or loan officers/banking institutions will typically order/pay for the environmental reporting due to it being a tool for them should their be any liability or issues with the property. 

Hard money that says that normally is institutionally funded and they have rates that have been squeezed so tight that they can't do anything with a loan of that size.