Curious if this is normal practice or in other management agreements people have signed? 

Given its condition, renting it may not be practical.

My next 3 months are devoted to learning, practicing analyzing deals, etc. 

You must hire locals who are familiar and acclimated to the culture of the city you plan to create rentals in. 

Here are some practical steps and strategies to consider:## Single Family and Small Multifamily HomesWhen looking at single-family and small multifamily homes in northern Illinois and southern Wisconsin, make sure to analyze the local market trends, rental yields, and property appreciation rates.

I know Deed in Lieu is a common and normal practice.

However, I don't know from a practical point of view if it's doable 2) Condo vs townhouse vs cashflow: I noticed condos  and townhouses are way cheaper in fort myers FL ( however risk of hurricanes) and maybe more opportunity for cash flow.

It's a good practice to overestimate costs and underestimate after-repair values (ARV) to keep your expectations realistic.

I'm working on my first rental and trying to understand the best practices for how to use the template leases I can find.

On paper returns, look excellent but when you put it into practice, you don't seem to get the same kinds of returns.