I'm still pretty new to RE investing so I dont have a ton of money saved for down payments but I have found a SFH valued at $130k and I have the opportunity to purchase for $97k. I know that most lenders will lend up to 80% of value but how would I go about finding a lender that would fund purchase and possibly tie in closing. I would only want to do something short term (5 year or so) with ballon at the end so I can refi it to a 30 year.
Have you tried reaching out to any lenders yet? That's probably a good first step to see whether your idea is received well and to also get to know who your local lending institutions are.
@James Galla advice is your step 1... you gotta go talk to a lender and not rely on Googling and Forums only.
As far as getting closing costs include. You can do that easily by adding that to your original offer on a property. You can offer them $95K but seller pays all closing costs. If they still don't want to bite you can even offer more than the asking price and have them pay all closing costs.