Is it best to simply increase rent by a fixed amount (e.g., $700) to cover this, or are there other strategies for handling utilities in this situation?

Now purchasing a home with cash is always good b/c obviously cash is king but also I think the part you might've missed is that, the money your utilizing on these home's won't actually be yours, but the banks or whatever institution you used to fix the home or make its value worth more.

Fix and flip.  

These methods include:Detailed Engineering Cost ApproachDetailed Engineering Cost Estimate ApproachSurvey or Letter ApproachResidual Estimation ApproachSampling or Modeling ApproachExperience or “Rule of Thumb” ApproachFor further details on the methodologies, refer here.WHAT ARE THE BEST AND WORST PROPERTIES FOR COST SEGREGATION STUDIES?

Start with a fix and flip loan - this will include a percentage of the purchase price and usually 100% of the rehab.

I've only been using them for a few months, but I like the model.

This is the model # at home depot.

Where you say "closed rate", we would say "fixed rate" and SOME fixed rate mortgages for INVESTMENT properties have an "early payment penalty".

Investment Info:Single-family residence fix & flip investment.

It had 22 of the 25 lots occupied but we'll be fixing it up, filling it up, billing back water and raising rent up to market.