Remember that FHA mortgages have very stringent requirements for condition of the property, and its possible the current owner has gone through the inspection process and found that the property is lacking in certain areas, perhaps in items that the owner is unwilling to remedy prior to sale.Last note: you wrote that the owner specified it would NOT be able to be an owner-occupied purchase... was the property fully rented with leases in place?

Beyond the immediate goal I hope to acquire another property by the end of the year, but I have to narrow it down to a vacation rent-able home I can still use as my primary residence when not travelling or another multi-unit property.  

Have you had a mold remediation specialist take a look at this? 

Then, right before closing, the seller backed out of the deal, and you suspect this listing agent came along and talked him out of it.Not giving legal advice, but there are legal remedies if the seller backs out.

Is there another way to acquire this property?  

I also plan using wholesaling techniques to acquire more properties or sell the ones that do not fit as a good rental.Ive owned my own home for 15 years and have done major renovations by either myself or as a general contractor.

I'm seeking advice on how to acquire a first SFR without "house hacking." 

Kristine Marie Poe  Then you have excellent phone skills another skill that is usually acquired by trial and error and experience ...

Hi All- I'm currently in in talks about acquiring a school to convert to apartments in a small town.

@Laura Pruitt Hi Laura, Full Disclosure, I am a General Manager for a Mold Inspection, Removal and Remediation Company in St Louis, Mo.