This also includes level above the water table if there is no municipal sewer system available, the lot must be high enough above the water table so the septic system can flow downhill from the house to the tank to the drain field.

You have to remember that the uncertainty creates anxiety...which leads to possible irrational behavior...meaning tenants default to self-preservation and will do everything possible to resist change....not saying your tenants will do this, but keeping them informed will make everything run smooth.HERE is a doc we provide to all tenants of occupied units (specific to my state)

Stop and think about the difference between investing in either single family homes or multi-unit properties where you tenants stay an average of 2 years, you only need to collect the rents once every 30 days and maybe 1 or 2 times per year your tenant has some sort of maintenance issue like their water heater or garbage disposer goes on the blink.When you invest in airbnb's your cost to furnish them is higher, your cost to constantly rent them is higher, you may have 50 to 100 different tenants every year and you need to clean inside and outside every unit every time a guest leave.

I figure the fact that it's on water is worth a $500K premium on its own.I have a cabin right on the Roaring Fork River in downtown Gatlinburg that does about $70K a year. 

Lenders are just trying to prevent fraud, but they throw out the fast-moving investors with the bath water when they do that.

Often times 1 mo rent for new leases, 1/2 month rent for renewals.What is the condition of the HVAC, water heater, roof and gutters, patios/decks, fencing, etc?  

I definitely do not ever want to be under water on an investment so I use:5% vacancy10% Maintenance10% CapEX10% PM.I understand this is conservative but is this still reasonable?

Get rid of wind, water and mold coverages, get less liability.

You almost certainly will be responsible for the water bill.  

updated appliances, pulled up linoleum and refinished floors, added electric panels in units, and added instant hot heat/hot water for units Lessons learned?