Water galore.

Your PM replaced the water heater because it was leaking.

The property has 2 electric meters and one water meter.

The city required the road to be extended a few feet, along with water and sewer.

The tenant understands that the property of the Tenant is not insured by the landlord for damage or loss of any kind (action of third party, fire, water, theft, vandalism, storm, heat or cold, electrical damage, pests, mold, accident, etc.), and the Landlord assumes no liability for such loss.

:)As for LTR rental terms, usually we sign a 1 year lease where tenants are expected to pay Electric and Gas if applicable, while the owner typically pays water/sewer/trash with the city. 

Now the water issue is something.

The home was in rough shape—think mold, a hole in the roof, and years of water damage.

Licensed with permits ~$4,000.Full replacement of all water supply lines and shutoffs from the interior water meter with PEX and an open basement.  1 kitchen 1 bath 1 laundry. 

You may have a 1M policy, but 25K for mold limit.Cracked water pipe MAY be covered.