Then based on @Michael Baum's suggestion, I think I will have my cleaner and/or maintenance person do monthly/quarterly maintenance like using using enzyme based cleaners, grease fighting drain treatments and hot water flushing. 

That actually is a benefit, as no one is expected to water the yard.  

The other thing could be tracking what you have had come up on the last 5-10 projects after closing, i.e. the water heater was at the end of life when we bought the last 6 out of the last 10 properties.

(And I would tell you to not buy a property that doesn't cash flow unless you have significant resources behind you that could absorb anything that could come at you - like replacing a $5,000 AC one month followed by replacing a $1,000 hot water heater the next).   

We bought a home built in 1900, insurance water damage coverage is 10% of the dwelling limit. 

I ASSUME you’re talking $400+ in extra expenses for providing water, power, sewer, gas, internet, communal area cleaning, and exterior maintenance.

The current owner is letting me take over the property as a tenant as long as I pay the water bill and the mortgage payment on it and whenever I decide I can purchase property for the balance of the mortgage  they are in no hurry for me to purchase the home as long as the mortgage is paid. 

Lead water lines have been a big topic here and I imagine in every older city in the midwest and east coast.

My principal/interest, escrow, and insurance is 1570, and my HOA is 306 and it includes water.

I know it can feel like uncharted waters at first.