The second floor hot water tank also needs replacing so I figured now would be a good time to get quotes and see what can be done (side note, I just had to pay a few hundred dollars to correctly separate the hot water as some plumbing was crossed). 

Certain trades electrical, plumbing, HVAC that have their own licenses will have to pull their own permits due to their license.

Most inspectors will want to peek behind the walls and you may have to pull all the drywall so they can see all the framing, plumbing, and electrical.Definitely adjust your numbers on the deal ignoring that square footage and subtract any costs that may be associated with demo or corrections from the purchase price.It might be worth just getting a preliminary inspection done by the city just to give you an idea of what it will take to get it approved.

Brief Description of the property: 2 bed, 1 bath, built in 1923 (updated electrical and plumbing). 

Or the building was not safe and needed some major repairs, such bad foundation , asbestos on the plumbing, or knob and tube wiring?

Depending on what time of year it is, I do additional things while I'm there - change all the smoke detector batteries, clean the gutters, clean the outside A/C unit, check the sump pump outlet plumbing outside, and so on.I always schedule these visits with the tenants at least a week in advance, and sometimes they will let me know about some minor issue when I ask them about coming over.If something important breaks in between visits, the tenants will get in touch with me via text, email, or phone. 

The property is in great shape (newer roof, HVACs, built in '65 so the plumbing, electric is somewhat modern, etc).

I knew the house needed work at the time and expected plumbing and electrical to need work.We have made it to “underwriting process” and Unfortunately, according to my banker, when the appraiser went onsite he had no electricity (the meter was not installed) and no plumbing, so they cannot lend on the property and will have to “set my file aside” until I get an appraisal for current price, a general contractor for quotes to see the ARV and then go from there.

I am Hvac EPA certified but I also do plumbing, garbage disposals,dishwasher,fridges,ice makers, shelf’s, basic turning of residential apartments.

I searched the apartment and all the areas where plumbing ran looked normal and dry.The downstairs apartment has plaster ceilings and the drip happened to be coming from a seam of where a support beam meets the ceiling.