Your income is Sales priceLess Purchase PriceLess Costs to sell propertyLess renovations/repairs/holding costs.You mentioned having partners. 

These lease breaks will cost me 100s of man hours trying to fill these vacancies, repairing damage left behind, and pursuing the civil cases.

It is also will allow for experience in managing tenants, repairs, accounting of the expenses etc...plus you get to keep a close eye on the property.

You can even use a really fine-grit sandpaper.This video demonstrates how she repairs a stainless steel sink and it includes before/after images for comparison at the end.

I understand a fixer-upper would require a lot more work in accurately determining repair costs, finding good contractors, etc., but I think the learning experience would help set me up better for future deals.

Do they have a lot of repairs called in?

Auctions are quite possibly the worst place to buy if you want to avoid repairs.

I would imagine this would be close to a balance sheet.I'm not sure what my CPA would want, but that looked pretty inclusive since I categorized my transactions into their respective categories, ie property management, and repairs.

Start with simple repairs, plan for vacancies, and ensure professional inspections. 

Purchase price: $169,000 Cash invested: $55,000 Property needed cosmetic repair.