I did the research, and everything (License, insurance, and bonding) was good (Legitimate).

This is a legitimate situation so you definitely should discuss with your CPA.

It is about being credible.WHY would anyone put a picture of their dog if they want to convince the seller they are a legitimate company?!

It sounds as if it is a legitimate mistake. 

I'm newish to RE investing and want to verify if what the Listing Agent told me is legitimate.

That being said in my opinion a camera in a tenants living room and kitchen is something that should have been disclosed and sounds like a legitimate reason to break a lease.

To me it's just that simple.However, as pointed out by some earlier posters in this very thread there are reasons why some people include capital expense in NOI, some legitimate others misguided. 

Legitimate tenants get 90 days or the duration of the lease after a foreclosure.

We had a scenario where we lent money against a property and then someone out of the blue sued us because they were the legitimate owner of the property.  

It might not be a classic Internet marketing scam like some of the others, but if it's legitimate, then it's nearly impossibile to execute a deal and get paid, in my opinion.