Once they have evidence of a problem, in most states, they are legally required to disclose this to future buyers.

If there's no evidence to support the calculation, you'll have a hard time defending yourself from any inquiry.So when I say allocate more basis to land, what I really mean is, among those four primary methods I mentioned above used to determine basis, choose the method that produces the highest land value. 

You spoke with 15 lenders that also didn't present the option (who presumably have the exact same license that I do), evidently they are in agreement with me.

If there is lots of hardscape and/or no evidence of a leak, you'll need to call leak detection service.  

If you have photographic evidence of the dog on the premises mention it or include it. dog needs to be remedied in x days.

If they can't provide sound reason or evidence for refunding only a partial deposit then they're probably trying to take advantage of the tenant.Justin

The HUD-1 must show no evidence of a lien, and it must be signed by all parties.Your lender will also verify that the original transaction was arms-length.

For me, it's worth spending $15k up front to join an education and mentoring group where that education is not only valuable in itself so that I know the business model and have help all long the way, but also provides sufficient evidence of being a sophisticated investor by virtue of the documented training received and the ongoing mentoring from experienced active investors. 

It seems that this would not be considered a 'flipping business' because:The same property has been held in the 401k for 5 years--there has been no 'flipping' business activityIf I were to sit on cash  after selling (or something non-real estate) for 2 years, this would give more evidence to this not being a 'flipping' businessIf I were to buy another property in 2 years, again, not much of a flipping business.

The larger question is not so much "why so much" for me but "why, given all the evidence, do those with enough feel more will increase their happiness?"