My calculations are based on 2 sets of numbers - the numbers the seller has provided, and my own calculations accounting for 5% for vacancy, 5% for repair, 5% for capex, 10% for property management and actual costs for property tax/insurance.I am trying to decide if this deal is worth pursuing or if I should walk away due to the premium on the homes.

Account Closed I think this is the key point. 

Be sure to take property taxes into account too - there's a huge difference across the country. 

It will also make year end accounting and reconciliation so much easier and showing your assets vs liabilities for future lenders - whether traditional or hard money. 

No Bill Pay for the Cash Management accounts...

However I recommend speaking with your accountant/tax advisor before making this determination as this may differ depending on the individual and their objectives. 

Save yourself the time and energy and reach out to local accountants. 

Sometimes 5-10% is safe but if it’s your first deal you want to bump that up more unless you have cushion in your numbers or in your own bank account.

Just be sure you actually keep the LLC and rental property separate and don't commingle any assets/accounting.

Take into account the probable opportunity cost to the seller of being unable to deploy the proceeds where he will, and the seller is even further in the hole.Like I said, contradiction in terms.