At minimum, it should protect you for any recorded liens (tax, water bills) and bogus claims to ownership (aunt Sally coming out of the woodwork to claim ownership).

Electric can easily be metered separate and water can have a sub meter by your plumber (which would require the effort of someone reading that meter each month on behalf of the owner to bill the tenant back.

On top of that people do not loose properties to forclosure anymore; they are not under water, they can just sell it.

What are they using gas for at the moment water?  

Leave for the owners to run in electrical, water, sewer.First check everything is possible.Run your numbers.Make an offer that works for you. 

In NEPA (Scranton area) we've used licensed plumbers to install new gas boilers (either steam or hot water w circulating pump) for far less. 

Due to the floods, the water heaters' pilot lights went out and I had to send a repairman over to relight.  

I keep space heaters, window air conditioners, and some fans ready along with an extra water heater.

Even if you put $50,000 down with 4.2% interest your mortgage, insurance, property taxes, trash removal, water, owner's electric meter, maintenance, etc. will exceed $4,000 per month and there won't be any booty to pay your partners for 20 to years until after you increase rents.The property could make decent money for someone who can put $150k to $200k down and for someone who has a lot of cash in the bank for rehabbing units when tenants move, for a new roof, plumbing, repairs, etc.

That said, please provide your input on any and all of the following assumptions:-Repairs & Maintenance: 10%-CAPEX: 5%-Vacancy: 5%-Property Management: 10%-Water/Electric/Gas/Garbage: $0 (Assuming you could pass on this expense to the tenants.