@Dave Carella Your agent should have warned you in advance that there was a good possibility of this happening in a short sale. 

Your agent should have warned you about this and given you instructions on how to avoid this.

I mean would you want to buy in a HOA to find out their reserves are nonexistent Anytime a seller wants a contingency lifted or removed early n the process it pings my warning radar.  

sticker on the door warning not to turn on any breakers or water.

One pratfall on video and difficult-to-disprove claims of shooting pains, with the above email to document that the tenant warned you in advance about the "problem," and you're in trouble.Just look at the email.

After all that, then make notes of lease breaches and give them a verbal warning.

No warning needed. 

The HOA restrictions specifically say that "Pets must be kept in a manner that does not disturb the peaceful enjoyment of residents of other lots" and one of the terms of the lease is that the tenant abides by the HOA restrictions.How would you handle this if it continues after you warn the tenant, and the neighbor keeps complaining?

Warning long post but i'm so dang excited and I just wanted to share my plan so far:  First,  if you had asked me a year or so ago what I wanted to be when I grow up, ( im 39 by the way) I would have told you........

When they didn’t cure it you could have taken them to court and eventually evicted, which would have resulted in the lose of their voucher, and more importantly, remained on record as a warning for other landlords.If we as landlords don’t take the small effort to take bad tenants to court, even when there is not hope of collecting, so as to warn other landlords, we are letting our industry down.