Most US state brownfield programs allow for different cleanup standards and there can be ways of siting buildings to minimize cleanups (excavating contaminated soil).

@Don Thornton,Generally professional PM's will want to minimize their risk exposure. 

While nobody will cheer for the interruption to life, deaths from COVID19, and financial straits many will be in, I'm looking forward to the opportunity to buy discounted properties and greatly expand our portfolio.Biggest change is underwriting more conservatively than before, negotiating harder with sellers, and keeping more reserves than before. 

However, minimizing business fees to appease clients who will most likely be frustrated and move on is a weird choice. 

The amortized cost is minimal, and while we may not see an immediate return from a cashflow POV, when we re-rent we'll be able to pump the rent accordingly. 

Either way, you can have someone handle this for a minimal amount of money vs. the value of your portfolio.

So the cash flow is at higher risk than normal times and the probability for a price decline is higher than normal times for an RE that projects very minimal upside.I do not believe RE is a poor investment in general (obviously). 

Mini Me?

I believe they do this to help minimize people using FHA as a means to conduct business and that they will actually move into the property, and that could make it difficult for the loan to be sold.I hope this provides some help on that front.Cheers!

Banks know uncertainty is coming so down payments will be 20% to minimize risk to the bank.