Hey I'm able to help on both sides for you.

Commingling funds can obviously land you in hot water. 

@Nick Rice I think all chris was saying is that the market as a whole right now is pretty hot, and there are bidding wars going on, "almost" everywhere, and when a buyer comes in with a FHA loan nowadays, usually there is a couple other bidders already bidding on the same property with 20%, 25% down, maybe even full cash, so the 3.5% down offer to a seller is a bit of a last option.  

and yes if the buyer wanted this property.. the second they got the counter and if it was acceptable they should have signed it.. then get it acknowledged and then they are in escrow... if they wanted out I am sure there was a due diligence period.. this is the type of mistake folks only make once its a learning curve however the buyers agent should have told the buyer they risk losing it by sitting on the contract to the very last second. this is why in hot markets you see sellers and buyers make offers with ONLY hours to repond.. offer comes in at 1pm and they require a response by 5pm.. giving days to respond is nice but it does set you up for what exactly happened

We're still growing in Cbus, have hot companies and educational institutions, and we're not oversaturated with MFH housing yet.

I am licensed in the state of MT and am always looking for work on the side.

Other downsides, heater is oil heat, and no central AC (just small window unit), large yard is very overgrown with Himalayan blackberry bushes, and no garage (converted garage to living room space).Upsides: decent condition wood flooring in bedrooms and about half of the living space area, newer vinyl windows in most of the house, outside siding in great shape, roof looks to be in good shape, and the most important upside is the neighborhood, excellent area.FinancialsThere are already multiple offers on the property and they are accepting offers until Monday morning.  

The downpayment and financial side can be tough early on. 

Oh, and the siding on their garage turned brown around the window I was using to vent the place - go figure.

Aluminum siding, pitched roof (not sure on useful age). wood front porch that needs updating.