Subprime or hybrid ARMs for flipping?

I am brand new to this site. It is a blessing to have found a forum with like-minded people helping one another out. This is truly what it means to be American, is it not?
Listen, I’m a former mortgage industry insider and right now I am doing title searches per diem for a couple of closing attorneys here in central MA.
I also help my best friend with property improvements when he buys “ugly houses” and prepares them for flipping. I bang nails, hang sheetrock, do lawn and yard improvements, etc. He pays me well for my work and pays out fat bonuses when the proerty sells.
I am eager to get a slice of the pie for myself, while it’s still warm.
Since I lack capital and I currently have marginal credit (but very little debt), my question is this:
Does anyone know if it’s feasible to get financing on a lien-free foreclosure, provided I put the 5k down to secure the bid, can I get an interest only ARM or a 1 year portfolio ARM for financing for 250k with 5% down? Furthermore, can I get it done in the thirty day period after deposit? I know its a tall order, but maybe there are mortgage-savvy individuals who can help me out. My payment ability is around 1200/mo including taxes, insurance. That would put my DTI right around 50%. My middle score is 612. Again, I’m in Massachusetts and the loan purpose is financing for a flip.

You might qualify for a Power Option Loan. I live in Sacramento, Ca but I also have a loan broker who works with the World Lending Group. Your credit score is not that bad. If you like you can submit a 1003, the loan application for a purchase or you can try to see if the owners would consider a refinance on their own or doing a quit claim deed to you and allow you to do a Refinance rather than a new purchase. what is the property worth is the $250,000 the price including the equity… What kind of equity is in the house?

A refinance can usually close within 10 days.

Do you plan to live in it while rehabbing or is this a pure investment property?