The way this is more commonly done is to partner with the seller where they contribute the land to an entity that you manage (and the seller becomes a member). 

Delaware Statutory Trusts (DSTs) and 1031 Exchanges are two commonly discussed options in this realm.

Over-inflating closing costs is good and should be a common practice for LOs who don't know what most of the fees are upfront because its very true that things such as title, taxes, prepaids, etc. are all unknowns.

It's not common (because audits are rare), but this type of reclassification does happen and is messy when it does. 

so i am coming around to your way of looking at it. these problems are very common actually (HVAC stolen/roof issue in midwest).

I think I know what you are getting at but I am not sure there is a  common phrase for it.Multiple Financing Strategies?

Is this a common procedure following an upset sale?

Hi Nico, Yes, lazy listing agents are a surprisingly common problem--if only the sellers knew they were ignoring calls from interested buyers!

@Nick Kohilas I believe 50% is more commonly found in high-end resort towns such as Vail or Park City; it's definitely more than I'd want to pay!  

Yes this is referred to commonly as house hacking.