If you are looking to buy in PA, its possible you can qualify for PHA KFIT program that gives you a 5% closing cost forgivable loan.

Hard money loan that covered 100% of rehab and 90% of purchase.

Personally, I'd cash-out refinance into a 30 or 15 year loan.

If he has a $5MM loan in place, what was that used for / is it coming due/ was it short term/ etc.?

That first deal after a break can feel like a big leap, but it sounds like a great opportunity.On financing, seller financing, private lenders, or portfolio loans from local banks could be worth exploring if you want alternatives to hard money.Excited to see how this deal goes for you.

If you are looking for a more laid back and roundtable type discussion of all things real estate, you are more than welcome to join us every Tuesday morning on Zoom or Thursday morning at Kairos Coffee where we discuss everything from assumable loans, to creative buying strategies, to landlord tenant laws and pretty much everything in between! 

House hack another property with a low down payment loan and use the remainder or the proceeds to either renovate or purchase another investment property?  

You may not be able to easily separate that property from the loan to make that happen. 4.

Financing options do exist: hard money loans, renovation loans, and some traditional mortgages can be used on distressed properties if criteria are met.

House hacking a 4 plex using an FHA loan would be a good way to get in with low money down.