It eventually comes out they negotiated a deal for reduced fees blah, blah, blah.Some places do not need PM as much but they tend to be in affluent residential areas with very little cash flow but stronger tenants.As a PM company you will have to GRADE the type of area and tenant your client wants you to manage.

My inclination is neither should be included in my assessment of CR and they should be included in COC as they would reduce year 1 COC but not subsequent years COC.  

Besides calling a general inspector to check for obvious issues, and a general contractor for estimating rehab costs, is there anything else I can do to reduce exposure?

A Trust Property:Trusts are an estate planning tool used to facilitate the transfer of assets and to reduce tax liability.

Could be perfect for you being an active duty diver; help sharply reduce your living costs and start giving you practical experience with landlording.

If you have a half decent agent, the delays and headaches are significantly reduced.

@Sue Deng  please take no offense.. however If you do not even understand this basic question.. and folks in foreclosure are under EXTREME duress and stress how is someone like you remotely going to help them.. other than for your own self serving gratification.to come on BP and ask this question just floors me personally.. the blind leading the desperate and this usually leads to those your trying to rip equity form to end up just losing their house. 

@Darish D.That is where insurance and attorneys comes in along with some best practices to reduce risk.  

I don't know that the open floor plan will go away, but I could see the general kitchen obsession being reduced on some properties. 

If you don't want to handle the stress of firing a property manager, use that financial planner of yours to research and find a new one!