No, it's not a normal business practice and does not pass the smell test.From driving? 

An attorney that practices real estate is a good choice, an attorney that invests in real estate is a better choice.

It's pretty common practice to have something like that in a property management agreement, and if it falls under that limit they're going to pay it and not notify the owner except in regular monthly updates because it is below the threshold of what is an ordinary expense in the course of business.

It's deceptive practice, plain n simple. 

These will give you a clear picture of the property's current performance and potential.

Find Brandon's videos on YouTube for the "four square" method of analyzing homes and practice.

Here’s how I’d break it down and strategize your entry point.Key considerations include the current and pro forma cash flow.

For those interested, a combination of mortgages with no “due on sale” clause, mortgage companies loose due diligence, and title insurers willingness to “turn a blind eye” to practices that wouldn’t pass scrutiny now, resulted in tactics like the “second mortgage crank” which not only allowed investors to purchase properties with no money out of pocket but allowed investors to actually walk away from closing with “cash in their pocket”.

Seems like a good idea in theory maybe not in practice. 

I find it odd that this isn't a more standardized practice.