Sounds fishy and sounds like they don't have proper documentation for what you are claiming.

Great news too, as long as you have an insured contractor, one of the biggest Builders Risk markets in the U.S. will now add on GL.

Perhaps there is an issue with me relying solely on documents provided by PM company stating rental incomes etc vs actual copies of leases or other info substantiating rental income)? 

I believe you can send up to 4 documents a week totally free.

Various news articles indicated that these companies had been involved in alleged real estate fraud.2.A U.S. bank reported that a real estate investment company located in the eastern part of the United States made multiple cash deposits within a five-week period in amounts that totaled almost one million dollars.

I have been advised by my title agent that if I were to go through with the closing, I would be signing some untruthful documents regarding it being my primary residence since there is currently a tenant.

Good news is if she is pulling that kind of BS SHE also has guidelines she needs to follow and the attorney should be able to see if she is doing anything wrong and can break any claim she is making with the rent if she is.Good luck and god speed...  

The good news is that the tenants portion is around $50 and section 8 pays $950+.  

Good news.

They will go through arbitration and you just ask for all documentation they received on the transaction.