What got me thinking is that my bank had an option for a portfolio loan but recommended conventional and said "that way you wont need to worry about refinancing later".

That sum of money is pretty large you could split it up into multiple markets to diversity yourself in the event one city truly suffers you're somewhat insulated.

Top producing agents wont touch a rental.

I've made calls to lawyer, HML, and other funding sources but being its a holiday I wont expect a answer untill tomm the earliest. 

There are good ones that wont charge zillions of $$$..  

The outstanding balance is the important key here, sometimes they wont tell you in the online account information is in the paperwork. 

In these kind of deals Im transparent and show my overhead and profit on a separate line (10/20).You wont make them happy no matter what at this point. 

If Chase, Wells Fargo And Bank of America wont give me a reprieve because of my tenant‘s plight, I won’t/can’t either.

Given that you are so early in the project, how can you guarantee that you wont loose money? 

Finding obscure judgments from a state you dont live in, which has likely been nullified 10 times over on appeal because some lower court judge wanted to make some noise, wont help you in court.Courts are open, go sit in administrative court forna day, I guarantee this issue will come up, and the judge will decide in 10 seconds that emails do not consitute a comtract.