Definitely need to understand that 10% of gross rents go to capital expenditures, 10% goes to maintenance, 10% needs to be included for future PM fees, 8.3% needs to be included for vacancy, and then pull all your numbers on the electric, gas, and water that you would be required to cover.  

For example: they may list a water leak as $1000 repair when it may be a $7 shut offInspections on HUD homes are costlier and it some cases not possible in some cases do to the inability to turn on utilities. 

However, that would be like going fishing and never casting your line in the water while expecting the fish to jump in the boat.

If I could I would turn the power, water, cable and internet off to hopefully rid them of the property sooner.

i.e. 10 years for furnace, 8 for water heater etc.Note that these are not actual numbers for these items just examples.

It's not a sewer line, it's a 3/4" water supply.  

In the beginning we were looking at duplexes, they wanted to put their toe in the water.  

This is for installing a short 40 gas gallon water heater.  

With the property suddenly under water, I decided to rent and wait it out.  

You operate a business and to stay above water you need to make money as well.