So, if you have a leveraged property with a tenant not paying rent, you are essentially going to be eating the PIMI.

There are def bad areas in these towns,  and also areas that require flood insurance which will eat up your cash flow.  

Or you can let him get away with it and  simply move on eat the loss of  a few months no rent. 

He also won't reimburse me for the fees even though he is sending the money the wrong way and he thinks I should eat the cost.

You need to get that loan paid off and eat the tax loss.

Cable and internet fall into this category.Now if this is a month to month rental, I would not expect cable, internet, cooking and eating utensils, towels, soap and the like to be provided. 

You are being selfish and in your quest to "have your cake and eat it too", you may end up with three vacancies.One other thing to keep in mind is that two vacancies at the same time is easier to fill than two separate vacancies.

I didn't add to seller's side because they are extremely price conscious in this, which is also why they didn't list.

I would want to charge around 1500 to CF 400/m which is 4800/yr. id be happy with that. leaves room to save for vacancies, fixes, random HOA assessments, but if you are out of town as mentioned then you will have a PM which will eat into that with leasing charges (possibly) and a monthly charge (more than likely) and you could see that 4800 turn into possibly 2000$/m or less. 

Congratulations on a very conscious decision.As for my position, I've lived in Southern California for 19 years, Houston for 3, Dallas for 2, and now back in Southern California.