The home was in rough shape—think mold, a hole in the roof, and years of water damage.

And if you do, you are going to possibly sacrifice the value of the tenant that you get for the price that you're getting upfront, and if you're going to lose your tenant that you currently have then you risk the vacancy, having to do a rent turn, and that would come with more maintenance, and many additional costs that you would have To encumber that would most likely far exceed that $160 extra that you were trying to raise in the first place. vacancy means no money coming in, and then your investment is dead in the water.

The house has a new roof, but HVAC and water heater replacement might be needed in the next few years.Also, mortgage rates are currently around 7%.

In Reno and metro areas, insurance companies primarily focus on roofs, the age of the building, wiring updates, and water pipes, as mentioned @Cameron Moore.

Usually this is from poor drainage and accumulation of the water that tends to be absorbed by the soild near the foundation.

Last year we had a water leak on a Friday night, we had somebody out immediately Friday night and came back on Saturday to do final clean up. 

Try to anticipate other potential avoidable situations with a follow up inspection to assess the Locksmith’s work and ask your tenant(s) if you can also use the time to assess for other issues such as unchanged HVAC filters, leaky pipes, working shutoff valves, working smoke detector batteries, properly working downspouts, clogged dryer vents, evidence of water damage from leaking roof, etc,etc,etc.

Or if you are able to connect to public water &  sewer, this would make the investment much easier.

What happens if the water service line has to be replaced?

It’s been bumpy with positive income. lots of expenses,  220 w batteryinstalled, utilities , gardener,  Water heater etc and cohost is eating up positive.