The old woman's sister went over there to get her deceased sister's stuff and she said he was hostile towards her and she warned him that she was gonna turn off the power and gas. 

I have options for a one time second lien on investment properties.

As Chris points out, private money is your only option. you cannot get conventional financing because you can't get anyone to issue a title policy on an active foreclosure.

I'm in search of an option that is not only cost-effective but also offers detailed sub-market intelligence.

Do that with options.

I’d love to learn more about things like: what other options can I consider for liability protection besides an LLC(I haven’t met a lender willing to lend via an LLC), what are some gotchas to be wary of,etc.

True, Being a IT guy, Maybe I just like to talk to people in person :-/But you're right, I should stay open minded and be open to all options ..Thanks Marc

This is one option to consider that can help differ taxes and depreciation recapture. ...

Some lenders are better than others in helping strategize the best options.

Other tips I might consider could be Expanding your search area: Look beyond immediate local markets and explore options in up-and-coming areas or cities with diverse economies.