May GOD bless you and repay all of those who hurt others.

Instead of a traditional down payment, I would give them some money (maybe just to bring the loan back to even).The upside if taken over the loan at the current balance, with some rehab and hopefully getting the front lot back would be a nice ROI. 

Assuming since you did any FHA loan, this was a househack?

Give me a shout if you'd like a rate quote for your DSCR loan.

Since it was over 12 months with my HML, I ended up taking the property under my name with a 30-year conventional loan.

Any good resources for learning about hard money loans?

This is a large community and someone might give you some insights on the lender or the loan officer.  

House hacking is an excellent strategy, especially with the potential to use an FHA loan to secure a property with a low down payment. 

What really matters is how long you think you will have this loan. 

.🔹 Creative Financing – Traditional loans don’t always work for distressed properties.