We do co-living for the main stream. 

It can potentially be deductible as an ordinary or rental expense, an itemized deduction or simply non-deductible. 

Reassess whether you need the home warranty, flood insurance, or other items.

You missed an important item: Depending on how a person does #1 or #2, it could get them: A fast-pass to the "Principles Office" for "bullying" and now there sitting in "detention".... 

You're investing in RE for long-term wealth, not a few hundred a month that can be wiped out with one CapEx item.

Would you have any recommendations, in your experience, for what to look out for in the documents that would be red flags or items that would negotiable?

We should also never have a revenue stream and make money off a tenant's security deposit.

The Detailed Engineering Cost Estimate Approach is typically used for the purchase of used property.SURVEY OR LETTER APPROACHOnce a site inspection has been completed and all components of a property have been determined, your specialist will send a survey or letter to the contractors or subcontractors to request they provide the cost of each of the items.

Go through each major line item and come to an agreement on what really needs to be done.

Because looking at the T12 from a 100 units will be different from 20 units will be different from 5 units in some of the line items (account names).