If they lied on the application this is grounds for disapproving them and returning their deposit.Plus it sounds like they don't want to pay the annual rent amount anyway.

Some owners have expressed disapproval with that as pool heating can be considered a pass through expense.

I contact Bob and ask him what happened and he tells me he rented it out to some crack dealer that I had no idea about/would not have let into my house.How does Bob have the authority as a lessee to take a lease on my house, rent it out to somebody without running it by me (especially if it's somebody I would disapprove of), and then just leave once the lease option expires?

This forum is designed to give investors the opportunity to better understand the complex world of real estate through the wisdom shared by fellow investors, so, your threatening disapproval of my capability to function as a landlord aside, would you care to elaborate more on your opinions and knowledge of this matter?

Ask if they have had any of these projects/approvals/disapprovals on the P&Z agenda that you could review online?

Anyway, we reached a verbal agreement.On the sticking points, we agreed to 25 years, The right to approve/disapprove a new tenant, and a 15% every 5 years rent increase.I think that we did okay.

Also NWMLS forms use arbitration of disputes.If you are wholesaling and using your own contracts you should make sure your attorney drafts language that specifies the inspection disapproval and return of EMD process.

There is no longer an AS-IS box on an AZ purchase agreement.Usually an inspection contingency/clause reads something like: If there are items disapproved of then the buyer will notify the seller that they have elected to either immediately cancel the contract or provide the seller an opportunity to correct the items disapproved. 

What I want to know is, what happens if your loan provider (for what ever reason) says it will take 2 - 3 weeks to approve/disapprove the loan (which is longer then the 10 days agreed)?

You have a property manager, but you hire/ fire property manager, review rent rolls, marketing plans, approve or disapprove repairs and capital expenditures.