Keep in mind taxes go up as do rents.

Credit Rating/Bank Statements/Tax Returns: Specify your requirements, if important to you.Purchase Criterion: How do you define a good deal, which will be profitable for your borrower and safe for you?

You can probably beat $2000/year insurance, but the management fee should be 10%, you need to factor in turnover too and 5% is probably not enough for both maintenance and turnover and I assume you added it, but you didn't mention property taxes (which have been terrible in Jackson County lately since Frank White decided to jack them through the roof). 

BTW behind Texas.When all forms of taxes are calculated (income, property, and sales tax), CA ranks below the middle of the nation in total tax rate.  

Additionally, most servicers will provide the tax documents needed at end of year (1099-INT, 1098-INT) and can also issue notices of NSF, late payments and support delinquency /default.

Property taxes are 2% instead of 1% for landlords as a general rule (some districts may  be slightly higher). 

Am I setting myself up for a tax nightmare?

That one is a big deal for rebuilding.I've also heard of property tax reductions for properties significantly damaged during the storm.Depending on the property and what you want to do, the hurricanes affected property tax, insurance, and permitting in a lot of ways.

Last year my best deal came from calling the tax delinquent list.

It's essential to do your due diligence and perhaps consider investing in more established or upcoming neighborhoods.Property Taxes: New Mexico's property taxes are relatively low in comparison to other states.