That said, this strategy does mitigate the risk of conflict with your landlord which is far more likely to occur than a bylaw fine (at least in my area). 

Or is it just to mitigate the risk of one doing that to you.

I'm not worried about the inspector trying to hustle me, I just don't know enough to know if I've asked the right questions to try to mitigate my own risk.

For both those reasons I'm extremely cautious what market I buy in (not all turnkey providers are in growth markets, some are in declining markets....no bueno), and I also look at a lot of the risk factors and how best to mitigate those.

Acquisitions team, renovation crews (fully licensed and insured), Property Management, and a Real Estate Investment Brokerage in case you ever decide to sell.By teaming up with a solid firm you can mitigate your risk and have some "boots on the ground" that have your best interest in mind. 

As a result, I work a little harder and pay more to help mitigate our risk then I would necessarily expect someone else to do.  

So your monthly losses will not be mitigated by appreciation gain.

If you can get in at 50 cents on the dollar and spread your dollars you can mitigate some of the time risks that are out there.  

I am even thinking of making it freestanding to mitigate some of the worry of traveling washer and such.

When the first check came it didn't cover  Hardly anything outside the Mitigation Invoice of $4230.00.