You need to feel out your seller and determine if this is someone you want to partner with.

They were NOT interested in our logical reasoning:(Regarding getting out of your current PMC contract, suggest you read the contract to determine your options.

I find that other formulations of the risk adjusted return analysis either (1) are too simplistic (typically the ones available through an internet search or (2) are so complicated and require so exactly an information input determination that to successfully use requires an advanced degree in statistics or analytics (usually ones taught in “top ten” college courses or (3) are so poorly developed that they can’t be relied on within 3 standard deviations from the mean.  

Before seeking financing, I would advise getting an LLC setup right away since without a SS# it takes longer to get an EIN number from the IRS.

Then you can determine how much work you want to put into the property.  

The plumber determined that the issue was caused by someone driving over the cleanout, breaking the pipe.

The IRS doesn't care which of you is on title.

Cost was not as much a determining factor.  

Your job is to determine if under the hood of these packages is it is underwrote properly and with a good sponsor.

A reserve is unnecessary, but I still keep around $15,000 - $20,000 in my account.The point is, that you should sit down and assess your finances to determine what the worst-case scenario may look like, how much you would need to cover it without impacting your life, and whether you will need to build a reserve.