A Sydney woman charged with murder following Friday’s alleged fatal samurai sword attack is "distressed" following her arrest and has never previously been in jail, her lawyer says.

Police allege that Hannah Quinn, 23, was a minor player in the violent death of Sydney rapper Jett McKee at Forest Lodge in Sydney's inner west last week.

The Herald understands that Mr McKee, 30, had attempted to rob the home where Ms Quinn and her boyfriend Blake Davis, who has also been charged with murder, lived together in Forest Lodge when an altercation allegedly took place.

Mr McKee allegedly hit Mr Davis in the face with knuckle dusters, and he took off into the street.

There, it is understood that Ms Quinn allegedly chased after and tackled Mr McKee.

Mr Davis, 28, then came out from the home with the sword, allegedly hitting Mr McKee with it.

After the fatal altercation, Ms Quinn and her boyfriend allegedly ran from the premises and were the subject of a massive manhunt over the weekend.

Police allegedly found $20,000 cash in the laneway behind the couple’s home as they scoured the suburb looking for the killers.

Wrapped in a white blanket and sporting a black eye, Mr Davis appeared via audio-visual link at Newtown Local Court on Tuesday after earlier being released from nearby Royal Prince Alfred Hospital where he was being treated for facial wounds.

He did not apply for bail, which was formally refused.

His solicitor Sherleen Chand - who on Monday night attended the police station with the couple as they handed themselves in - said Mr Davis was holding up at a “distressing” time.

“It’s very distressing, for him and his family,” she said. He will return to the same court in October.

Ms Quinn, 23, briefly appeared in the same court charged with murder on Tuesday morning.

Her visibly upset mother and father sat in the court with her younger brother.

She did not appear on screen as her solicitor Lauren MacDougall asked for her bail application to be heard on Thursday.

“She’s very distressed, it’s her first time in jail,” Ms MacDougall told reporters outside court.

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On Friday, police attended a quiet Forest Lodge street to find Mr McKee, aka Scepaz, dead in the middle of the road with a massive head wound after an alleged fatal attack with a samurai sword.

The Herald understands that a number of swords were allegedly found inside the house.

Police recovered a replica firearm and knuckledusters from the scene, leading investigators to believe that the death followed a botched home invasion.

It is understood that Ms Quinn and her boyfriend did not know the deceased, who is believed to have lived on the same street.

He is being remembered as a “legend” of the Sydney hip hop community.

“I was saddened to hear of the passing of Sydney artist Scepaz.

"I would see him at gigs, play his music on the show and he was always respectful,” read a post on triple J’s The Hip Hop Show Facebook page.

“I loved you like my own sibling. We laughed, we cried & conquered the world together.

“Some of my best memories in life have been with you,” wrote friend Sal Bellissimo.

Mr McKee’s LinkedIn profile showed he worked in software, but music seemed to be his true love.

He spent 11 years as the co-founder and chief executive of underground hip hop label Sub Conscious records, and in December released what would be his final recording.

The video for Forgotten It All shows him and co-producer Benji drinking long necks, rapping with a teddy bear and throwing a chair from a balcony.