We allow the borrower to “pledge” their assets in lieu of down payment (or LTV for a refinance).

If you are patient I bet you could do much better.

Personally, I'd rather re-finance it and get the cash tax free (see a CPA for exact details).

it's not bad, but I'm consistently getting 5.75% and 10% down (even got 5% down on the last one). 20-year ammoritized with a 5-year call (so we refinance every 5 years at a minimum).

The only waiting periods you would encounter are for cash out refinances, or refinancing and trying to use a higher valuation.

In the case that we can't refinance property A conventionally we would refinance or sell property B.We could refinance property B to purchase property A but it's in the final year of a tax auction foreclosure redemption period so, unfortunately, that isn't an option right now.

Would I be able to refinance the property or do banks usually stay away from something that small?

The catch here would be what the CFPB will do later in 2014 when they address the issue of RTO, LTO, LO, et al as they refine the SAFE Act with more Rules and clarifications.

Could an attorney take your estate to bankruptcy, sell the property and still stiff you friend.....you bet they could.

This allows you to get the property rehabbed and rented then refinance your lender out of the short term loan.