The lender fees are $3200 and the pre-paid escrow accounts with loan interest is $2000.

Jake-  most FHA lenders  will : 1)require any  credit  from seller/ agent to be applied to  closing costs / loan fees/ prepaid interest / taxes / insurance  or the UFMIP ( upfront mortgage insurance premium )   2) lenders will rely on the FHA appraisal  and  normally not require the property inspection ...so if appraisal  requires nothing to be done on the  repiping ...you should be able to do this post closing on your own timing ...if appraisal requires it to be done - then you will likely need to have this  done before closing

A lot of it is prepaid items like insurance or taxes, so you're not losing that, just pre-paying it.- Tom

However, the seller credit is toward closing costs and prepaids, not down payment. 

My escrow went up, so I prepaid the estimated taxes and insurance, but my overall monthly premium went up although I have a fix rate.

That means if the tenant pre-paid for a year and left, you then have the duty to find someone else and not just expect a year of rent.

Then,  prepaid cards savings accounts. 

You’ll need a true, thorough, preapproval, understand how much cash you’ll need to close (about 6% closing costs and prepaid taxes/insurance).  

The max 6% credit cannot exceed the ACTUAL amount of the closing costs and prepaids (prepaids are the initial escrows, 1st year homeowners insurance premium, property tax due if any, and interest until the end of the month).2.

In the scenario you outlined, there are only 2 ways that I can think of right now that they would find out about your misreporting outside of an audit - if this was a commercial client that files 1099s, or if you file a partnership or scorp return and present a balance sheet that includes prepaid rent and is a cash basis return.Cash income is recognized if you have constructive receipt as of the last day of the tax year.