I was able to get the fine reversed after discussing the issue with the city inspector and getting him to remove the fine since it was my first violation.

I have an everything is in writing policy, even if during phone conversation I have to write it down, with signatures required or RTS (refused to sign) filled in the blank, so any sob story will be documented for rent etc. and all tenants know I provide an audit of violations if requested.

Credit will need to be 640+ as well for most lenders after that.The issue is that she will miss the balloon payment putting her in default of a mortgage, I know you don't report but she has to state that on any application once you get to that date, so extending may be the best option, keeps the black mark off her application/credit and may improve credit sooner.If you make an attempt to extend the original terms to an amortized loan you'll be in much better favor under any violation, shows you tried.

He had to think about it and let her know.I was shocked that a real estate office would be so stupid as to tell someone that.I was honest with her and told her that this is a violation of the Fair Housing Act and I was happy to have her family move into my rental. :)I could see an individual homeowner making that mistake, but a licensed real estate firm?

I am not targeting vacant land (but the properties are on a code violation marketing list that includes a little bit of everything). 

Speak to a local real estate attorney with experience with this and see if it is possible without violating the due on sale clause. 

However, now if you (or combination of disqualified persons) owns 50% or more, future transactions will then violate the rules.

An accountant, private compliance auditor or attorney who learns of wrongdoing or compliance violations can blow the whistle on any violator.

HUD does pay attention if they can prove there was a violation.

it should also address clear title, or exemption from certain types of liens, ie. code violations, HOA debts, etc.