Diversifying geographically can also reduce risk and increase long-term returns.For example, there are several markets across the U.S. that are ideal for new investors because they offer affordable entry points, reliable cash flow, and strong economic fundamentals.

We have offered to allow her to pay a reduced rent for the first few months as well but I am worried that may create some sort of limit on how much we can raise the rent on her in the future.

Not only low-flow, the flushing mechanism reduces the likelihood of clogs.  

It's early, but it looks like we'll earn around a 8-9% ROI.

This can drastically reduce the property's value and cause unexpected headaches.I’m curious—what features do you prioritize when looking at short-term rentals?

Does anyone have a template or method that they use in order to screen tenants effectively in order to reduce the risk of non payment and damage to the property? 

•Tenants demand prompt, high-quality service and without caring about cost •Vendors seek to earn as much compensation for their work as possible.Balancing these needs requires thoughtful stewardship, strong communication, and a commitment to fairness.

Some might not be livable at purchase but 5k still seems cheap unless there is something off with the data. maybe the prices were reduced on unlivable properties due to back taxes being part of the deal for the purchase.

You can likely see where a 5% reduction in your taxes isn't going to do much to reduce your bill. 

Quote from @Aaron Zimmerman: I would look for other ways to legally reduce income such as cost segregation studies.