Larger owners tend to analyze market rents monthly or even weekly and manage rents (or incentives) the best way they can.As long as the owner is engaged, the chance of adjusting rents is higher.

Plan is to purchase a couple homes over the next year.

@James Boreno You’ll likely owe taxes, but don’t forget to account for your adjusted cost basis, which factors in the original purchase price, depreciation over 10 years, and any capital improvements.

My question is do I go forward with purchasing the property and deal with the higher insurance and potential hazard or is it smarter to walk away?

I'm looking at monthly cost to seller vs. anticipated rental income, purchase price relevant to the ARV of the area and interest rate, balloon, etc.

I saw how that proposal is basically her giving me a 0% loan, but at the same time I believe that structure will avoid her taking a large loss (approximately 30k if she accepts a 300k offer).I do not know why she doesnt get a PM, I only share the facts of when she purchased it, the purchase price, and the reasoning she shared with my realtor as to why she is selling after such a short time period.

I'd have suggested a down payment assistance program for your first purchase.

I hope no one is using this to actually purchase property subject to.

A few years ago I purchased a property that was significantly worse than negative $5k/month cash flow.  

Purchase price: $417,500 Cash invested: $37,575 We weren't super happy with anything we were seeing on the market, so my husband and I had just started writing letters and looking off-market... until we saw this property.It'd been sitting on the market for months, originally listed around $550,000.