Any way to reduce the distribution amount to account for repairs and property taxes over the years?

Pad your reserves with the cash flow.The liquid side account absorbs month to month fluctuations (extended vacancies, major repairs, etc. they WILL happen) and keeps you alive until you can find other options, or until conditions improve.

does it need repairs? 

Make an offer based on that minus repair minus your fee minus your end buyer’s closing cost and about 25-30% for their profit.

My guys and I can easily do those repairs for less than that and bring them to class C apartments.

What are the repairs?

What is their hourly rate for repairs?

The issue that I am having is that I am not sure how to go about learning how to estimate (a) rehab costs and (b) variable repair and maintenance expenses. 

You can see if repairing it adds value that can help recoup it but likely the House is worth 25-35k at most if it’s good repairs condition

Would it be advisable for us to do our own repairs?