But either because it wasn't as much as feared, or that investors just liked having a defined picture of what to expect, I've found that investor interest in our area has improved since the summer troop strength announcements.  

What are the ramifications should you own the note, aren't able to modify it/get it performing again, can't get the deed in lieu, only left with starting the foreclosure process, and during the process the occupant declares bankruptcy?

I have gotten low as 5% from a very professional management company, but my rents were $2k each and they had several of my properties.My manager does not charge me fees when they go to the property, but their maintainance contractors do if no work was performed.

I do not over-improve rentals.  

You should do a search and read the actual text for yourself, but I'll sum up.Assuming a tenant otherwise passes your screening, you can not deny them based on a disability (or their need for specific improvements for that disability).

@Jonathan LipsonPhone call or in person will significantly improve your chances of putting a deal together. 

I would push for the 1 year lease and sell her on the idea you have no intentions to end the lease if she performs for the 1 year.  

I then performed cash-out refinances to pay off the HELOC loans and lock the properties into a low fixed rate mortgage.The difficulty was, in my own personal experience, doing cash-out refinances is more expensive and the rates are much higher than conventional financing.  

Past performance may not be indicative of future results.  

(Assuming the numbers work)-Inquire with bank about their willingness to sell current note (depending on performance) at a discount.