I told the tenant over the phone that I found nothing that even resembled mold, but i would wash the wall down to make her feel better.

They may keep it as an in house portfolio loan, but may restrict the LTV so it could be a wash. 

We have found that dishwashers often leak or don't clean well, fridges have bad motors and don't cool for very long before they break (and then you have to reimburse the Tenant for their spoiled food), and washing machines work, but don't spin. 

The tax deductible interest makes it a wash.  

He then asked if there was a fee and I told him that there was. He

His example was he did a speech about his kids and then his hand out was the "10 things my kids taught me".

I'm in Birmingham (Hueytown) and am familiar with the various areas from running my house washing business so I could be of some help on yes and no areas depending on your criteria if needed. 

They make money on the upfront points and rate, and to wash rinse and repeat with them.

It's easy to check out the competition because all you have to do is to bring a some clothes over and pretend you're doing a wash.

Just because you don't ever hear from that borrower for 9 years doesn't mean you have washed your hands of them.