If nothing else, they have a capital reserve limit and likely have a limit tied to the exposure to any one borrower.

I was also having knee issues on my bike stemming from wrong cleat positioning in my shoes and potential overuse from cramming training into a short time period.

Tie whatever you decide into how it will affect your overall tax situation.

It is completely different than paying someone when there are no penalties or interest tied to the payment as long as it is in before a certain deadline.

I just purchased my first flip with a hard money loan and now most of my capital will be tied up into that property.

I think the smarter course of action would have been to tie the property up with an offer to purchase and then to hammer out the P&S when your attorney is available.I hope it works out for you, but this seems reckless. 

Ties into the first problem.

Don’t forget that you’re not tied into just one market so if one market is not giving you the return you need you can always pull out your cash and reinvest it somewhere else where it makes sense.

Typically I stay out of such requests, but for some reason, if in your shoes, I’d provide a short, basic and simple letter to suffice her request. 

Would others recommend continuing to rent to such a tenant or cutting ties to avoid things getting worse?