Usually this is from poor drainage and accumulation of the water that tends to be absorbed by the soild near the foundation.

It's true you would have to send notice to enforce a lease provision or the tenant could face legal challenges from the landlord HOWEVER the national credit tenant has their credit rating at risk for defaulting on obligations which could substantially affect their cost of credit for business operations and that is not something they want to put at risk.Contrast that with joe schmo mom and pop tenant that defaults and if they have no assets to pursue you are out of luck.I help clients navigate the purchase and sale waters of NNN.

When a water heater breaks at 9pm on a Sunday I get an email saying it happened, it’s been fixed and it cost $1200 give or take.

I'm assuming that this situation wouldn't pass inspection, but one could argue that all the spaces the guests have access to (i.e. bedroom, bathroom) are safe and habitable + the guests wouldn't be exposed to the kitchen.Also, do the city inspectors inspect other parts of the home the guests won't access (i.e. inspectors check the basement for water infiltration even though no guests would ever be living or even going down there). 

And the second was that it was in a flood zone with the listing agent and seller saying it had never flooded but we were able to get confirmation that it had taken on water at least 3 times in the past year and the insurance agent for the property stated that with the flood insurance the premium would be close to $11,000 annually which meant the list price had to drop from $339,000 to less than $239,000 to make anything work.

In the desert it costs me LESS than $20 for water.

Or if you are able to connect to public water &  sewer, this would make the investment much easier.

That said, the market seems to be warming somewhat, which is what you would expect from a seasonal perspective.  

When the plumber removed the cleanout cap, water started coming out.

Quote from @Vince Scipione: In my professional oppinion I feel as though the influx of agents joining the field since covid significantly watered down the quality in the industry.