If we have the risk-adjusted returns, we can take more of the up side by doing a 50/50 split after pref.  

Good location, appreciation not guaranteed for the next several years.  895k asking price. 101k gross annual incomeExpenses: Insurance: $4,898Electric: 2,579Water/Sewer 5,085Fire Alarm Connection 708Property Taxes (if/when assessment is adjusted to sale price)-31,95130 Yr mortgage (20% down at 7.75%) 61,560Maintenance, Long-Term Capx, vacancy- 9,000 (this is probably a bit low)Total annual expenses: $115,781

Can you make a lump sum payment to the bank for the escrow shortage and then have the payment adjusted to account for the higher taxes, but not covering the additional escrow?

If you do that, they can adjust your escrows back to normal. 

If not, what do you need to adjust to get back on track?

Up the intensity until it sucks - progressive overload, faster time, better form, time under tension, longer duration, add'l sets, more reps, etc...

If you realize profit, sales price - purchase (and some adjustments for closing costs and capital improvements), you have taxable income. 

But I'd also like something a bit less intensive than a BRRRR to build confidence in my first deal, even if the cashflow is mediocre. 

Solar does not last very long- the panels are glass so imagine if you have high winds, hail, intense weather. 

There are far fewer ARM's (Adjustable Rate Mortgages) than there were in 2007/2008.