(not always good)Either way, you need to make sure that you are always complying with the HUD rules, even a minor infraction can result in a delay of the entire rent for all the units.

With predatory lending laws we are seeing advertisements to borrowers touching on the infractions made by lenders (institutional or private) where they can squeeze big bucks out of a suit with a lender. 

In the event any additional administrative duty is required to correct any infraction of any rule, agreement or default the landlord shall have the right to assess an additional adminstrative fee of $25.00 for each and subsequent infraction reasonably necessary to correct or cure same.It is agreed that such assessments shall become due and payable upon performance of such duties by landlord and that if unpaid shall become a part of rents then due.

Yes, I sure did. it was to pay for additional administrative and/or additional activities required which were unforeseen at the time the lease was made, the agreed rents were also a tad under market rents and fees were not cumulative adding one infraction on top of another, so even with additional charges rents were not excessive.The basis was for the time required to address these unforeseen matters, charge was by the hour and the time spent or claimed was actual or my estimate and never excessive and was rarely used.The lease was approved under HUD regulations by/and our City Attorney for low/moderate income tenants under an economic development program where a "funny money" loan was assumed on the property, I bought the property from the city.  

Recommend ditching the tenant at first opportunity.I had a tenant that paid late more often than not and I made a lot of money from late fees ($100 per infraction) the first 12 month lease.

Some home sellers will indicate they do not want a lock box and all showings must be accompanied by the listing agent or the selling agent.. at that point its the agents decision if they want to take that particular listing.In our market for instance if your caught giving out your log in and password to access the MLS system that is a 20k fine and they do fine folks and can kick them out of multipleAs I state above for an agent to give their lock bock key code out or their device to open the box to a client is a MAJOR infraction..

Each infraction he received got tied back to the property.  

This has the effect of documenting lease infractions to help your eviction case.

First not sure what is confusing about the situation.It is listed on MLS being sold by HUD.This guy bid on it at HUDHomestore and got it accepted (Either he is a HUD approved agent or is working with one - hence his thing about not everyone can bid).Sent in the paperwork and his $500 deposit and now is trying to find someone to sell it to before he closes (and you have to close on a HUD).The ad the OP has didn't have any text that I saw so don't know what it said, but most likely there was some technical violations in advertising but that is a minor infraction that has nothing to do with the question posed.As to the question about it being a viable strategy...

You could watch for lease violations in this period and have cause for termination if their are infractions.