Its change the way I think of REI strategy.On the surface, it appears you are doing everything right. 

I’m only scratching the surface and I can’t wait to share my experiences with you all.

My goal is to buy what flippers say "does not have enough meat on the bone", a B- condition on the surface property but with good internals, in an A neighboorhood, then fix it up over time so that it's better than average. 

As you can see there is a lot going on and this is just scratching the surface.

Was the surface water during the storm high enough that it drained down the steps?

If a fully rehabbed house is going for 95 and they want 80 for the rehab either you're getting screwed or you picked insane surfaces and fixtures that are way out of that houses price range.

A basement may be used for habitable rooms or a dwelling unit, regardless of the depth of the floor below grade, if the floors and walls are impervious to leakage of underground and surface water and are protected from dampness, and if the required minimum window area is located entirely above the finished elevation of the grade adjoining the basement wall in which the windows are located.

On the surface it may work but you are going to have to do a lot of research to prove those numbers.

BP has already been very helpful, but I don't even think I've scratched the surface yet. 

@Joe E. that seems very expensive to me on the surface.