So, the deal has to make enough economic sense where I know the return annually is good enough that even if price of the property slightly dips you are still banking monthly.Sometimes sitting on the sideline isn’t bad.

Also, you may open yourself up to liability being responsible for snow and if your contractor doesn't do it, or do it quick enough, or good enough etc.....

pretty much everything @Mark Buskuhl said.A flood zone wouldn't scare me if the deal was good enough, but if it's something that you are flipping you always have to think of it with the end retail buyer in mind. 

Obviously, you need to determine actual expenses, but it seems like this is good enough to push forward with in my opinion.

but then I am unsure if the product they use for the 1 year warranty option is good enough to last for 4-5 years. 

If the cash flow is good enough that you are able to handle those constant maintenance issues and still put money in your pocket every month then it sounds like a decent deal.

Is that a good enough return on that big of an investment?

The prices for the homes are too high for a good enough return imo.

I got a good enough deal on it that even with a normal eviction factored in I thought it was still worth it. 

I understand that the security deposit needs to be in a regulated financial institution account - I currently put them into my company's chase business savings account - is this good enough or are we required to open a some kind of special dedicated account?