My intention is to acquire the property and renovate it somehow and sell it. 

I just bought a house 1100 sq ft in February with the intention in living in it.

Developers that build new with the intent to sell will always get more profit from selling a SFH over MFH, so why would they build MFH. 

Ask the guy what his intentions are.

@Charlie Moore I can't say what the intent is relative to the context of that quote, but the transparency in my management business means being forward an upfront with my tenants relative to everything from screening process, move-in process, tenant and landlord service management policy, lease clauses, etc.

It is unclear from your post if you will actually fulfilling FHA requirements as to 'intent to owner occupy' and length of time to do so. 

And the other listing agent told the customer my intention and they pulled it off the market.

Even with the best of intentions CFDs (especially when they represent a high amount of leverage) can turn into a nightmare quickly.I think what I'm reading here is that this is your former primary residence and you moved out 3 years ago this coming August. 

Purchased it knowing it would be a project with the intention of selling after 2 years to avoid capital gains. 

For my friend the rental experience ended poorly - tenants trashed the property, although not intentionally and it had to go through the LTB to get them out for being late on rent. they had also bought it in anticipation of the bowmanville go train.