Our offer was already accepted and we are within the due diligence days, but we just got informed after the offer was accepted that the additions don't have the permits and the current owners say that they purchased the house like that with an FHA loan?

My day job is very time consuming and I wanted a way to get into real estate investing that I could do on the side. 

I source properties for investors/myself all day, every day in Memphis, TN!!

I wonder how it may work this day and age.

Yet close enough to hit up the beach or Disneyland on any given day.  

Most HML or PML end of the day when you add in ALL the fee's will be around 15% apr.. or a touch more.. 

However, if you as the owner are moving in, that would be a valid reason, so long as you give them ample notice time -- 60 or 90 days I think, depending on how long they've occupied.As for the other tenants, if this is their first lease term and they've lived there for less than a year, you can simply give them a non-renewal 60 days in advance of the end of their lease. 

Water/sewer sent water usage and it was 2 to 3,000 gallons used every day for the month of April.  

Must be occupied within 60 days of purchase, and must be considered the principle residence. 

That's a good point, it is a lot easier to just turn them over to collections....Are the requirements the same ?