It might be the best option even so.I'm going to some more analysis on what on the value increase vs cost for installation of sub-metering, but my back of the napkin calculations a couple months ago didn't make sense to do it.

Quick napkin calcs, say $75k for the land, $10k for clear it, build a 2,000ft2 house @ $100/ft2, and your costs for the new house would be $285k.  

Also you need to see if the PM is going to charge a rental placement fee many times this can be one months rent.. and a lot of times its outsourced.. but you do need to account for it.. with rentals in these areas 18 months I think is average.. so you are going to have placement fee's  lets say at least every 24 months on average.. so something to think about.. although for napkin math at a 1150 rental.. if you use 40% or so for fixed overhead you should be in the ball park.. as the rent number goes down you may need to move to 50% or even 60% to accurately capture run costs.Also its important to note in these homes that are being sold they have no rental history to guage them by.. like you would have buying an apartment.. so you could get the tenant from He@@  and your cost are higher.. you could get a fantastic tenant that lives clean pays consistently and lives there 5 years..

In order for the property to be habitable, it must have all of the following: a) Effective waterproofing and weather protection of roof and exterior walls, including unbroken windows and doors.b) Plumbing facilities in good working order, including hot and cold running water, connected to a sewage disposal system.c) Gas facilities in good working order.d) Heating facilities in good working order.e) An electrical system, including lighting, wiring and equipment, in good working order.f) Clean and sanitary buildings, grounds and appurtenances (for example, a garden or a detached garage) which are free from debris, filth, rubbish, garbage, rodents and vermin.g) Adequate trash receptacles in good repair.h) Floors, stairways and railings in good repair.In addition, the rented property must have all of the following:i) A working toilet, wash basin, and bathtub or shower.

But that my back of the napkin, nothing but common sense approach said was overpriced.

The general rule for landlord obligation is "safe and sanitary." 

Nothing wrong with "napkin sketches" of what you are looking for in a floor plan arrangement or elevations.

I actually asked for the last 2 years of P&L statements and essentially received the last 12 months of income/expenses written on a napkin.

House is not kept up to any sanitary standard.

It’s definitely not rocket science and most of this is quick math on the backside of a napkin.