She shows properties, checks up on them, handles tenant issues, and escorts contractors, inspectors, etc.  

Definitely get the owner to get the permits if you can, otherwise contact the inspector and ask for an extension on the permit or a review of the last submittal. 

A home inspector will see that as a big red flag if there is damaged wood that has been sealed over.

It makes for a much cleaner closing but, of course, it means you have to really know what you price cap is and deduct closing costs from it.Assuming the above reasonable, that really only leaves me with the inspectors' fees.

As you are aware this house was built in 1962 and I have been assured by an inspector that the stairway met the building code of the time and is not a violation of any current codes. 

Take your contractor/home inspector with you.

Also consider the costs of property mgmnt (+/-10% of gmr), vacancy rate (area specific, but 7-10% of gmr is a good start), and have a good home inspector do a once over so in case you missed something you can haggle and have an idea of potential upcoming repairs.

Also studying to be a certified "home inspector" and I have been studying building science.

Most recently we had a section 8 inspection where the inspector noted multiple issues (primarily because the tenant specifically pointed those out to the inspector) which need to be fixed.

@Jeremy Tillotson  anyone in the business long enough will run into one of these.what I get a kick out of is buyers of new homes or turn key homes have an inspection and the inspector finds a little bit of MOld and all hell breaks lose.. and then you have these folks who have lived successfully in a petrie dish for decades LOL..