That doesn't pass a cursory BS test, and risks the appraiser calling out either fixed plumbing + permits, or a licensed professional remove the bathroom.

However, once she passes they will try to claw back what they can from the estate. 3.

This property went under contract at a great price passed all the inspections and appraisal and so forth.  

It's a sad state of affairs when this phrase passes as a tax strategy.

Deep down, I think I always knew that, but the convenience was just too tempting to pass up! 

A lot of the deals that I analyzed (and passed on) over the past 12-18 months had unrealistically thin margins, and I saw the same thing on some of the loans that I looked at.

If I was in this situation I would hire an attorney and going forward follow the contract to the letter, documenting each breach but also clearly demonstrating readiness to close on the settlement date.And yes, I would have the lawsuit and lis pendens ready for filing before that date passes."

The goal is to rehab this house then rent it to a qualified tenant until my fathers passing, at that time he has it in the will that the property is to be sold and then the profits are to be divided up between the family. 

That had even a passing resemblance to tax returns or financial statements4.

@Bhushan Shinkre  I was speaking about fraud against your tenant sort of like passing bad checks, but I don't know if you can do that.