It can take a looong time to make your investment back, but if you just want to have another house on your property go for it.

@Bobby WilliamsIf the intent is to sell it back to them it could be construed as fraudulent.Has the bank even approved the selling of the home via short sale?

@Marissa Contreras I hope you were able to find someone that fit your needs since you posted this a while back.

Are there other specific cases that are directly on point that I'm not aware of that date back 25 years? 

When they call back, they are told that the cousin must have gone to lunch, Home Depot, another house, etc.

"cannot make the grade"= when the investor got a loan back in 2019 the rate was 4 and now at 8 -10 the rents no longer cover the payments.

If I recall correctly I remember one program here in Houston had a 20-year requirement of you living there and if you move out you pay the loan back. 

The appraiser will mark the report "Subject to" and you will have to fix it and have the appraiser come back out to finish report which is called a "Trip charge" or cost more money.Unless of course you decide to go FHA 203K but those can be a nightmare of wasted time and stressful.

I agree and we had to send the property inspector back out the next day to inspect the master bedroom and bathroom. 

Depending on the size of the property (I'm assuming its an SFR), a home inspection will set you back $300 - $450.