It is not a scam, but you will have a very hard time finding a deal that is worth working with them, and frankly you are going to have to find someone that does not understand at all what their property is worth and get them to accept a super lowball offer to make it worth it. even then their points and fees will eat up so much that getting the 10% down loan will have a much much higher profit margin. 

Quote from @Noyessie Hubert: Hi,I accepted a tenant at the beginning of December.

I used to accept cash back in they day from the hood.

They'll accept that and release your property, and your life goes on as normal with your new lender or leftover profit from the sale.

This means having to take a chance and take the property off the market for 2 weeksOption 2- Accept the offer with a provision that allows you to continue to market the property, knowing that there's a chance FHA may not fund the deal. 

For example, I mention that every adult must pay a $30 application fee, pass my credit/criminal background, make a combined income of 3x the rent, and whether or not the property accepts pets.

For example, I mention that every adult must pay a $XX application fee, pass my credit/criminal background, make a combined income of 3x the rent, and whether or not the property accepts pets.

Certain lenders can accept higher than 50%, and may be able to execute even with an exception. 

I do currently rent out a condo, fully furnished on furnished finders, and that has gone smoothly.Any tips, advice, etc accepted! 

It is usually pretty significant and might tip the scale in your favor to get them to accept your offer.