Are the properties insured properly?

I would tell them to pound crap.Why homeowners put up with being told how to run their property is beyond me.

Another idea you may want to look into is whole life insurance.

You will need a copy of their license (if required in your state), as well as a copy their Liability insurance. 

Even better - they haven't been getting offers every other day from investors.In Blount county there's about 1450 homeowners; age 60-89, 20+year ownership, single family homes valued between $50 and $250,000 and the top 700 or so people with the top Financial Stability Scores (FSS) taken off.You might want to adjust your message a bit when you do your mailing.

Maybe I'm wrong, but considering I wouldn't be paying 2 mortgages, water bills, insurance ect. wouldn't it be safe to assume I could purchase a property with a slimmer profit margin?

Statistically you can expect to buy 1 house for every 100-200 homeowners you speak to.

The property is a 5 unit building with the following information: Rental income is $4,000 per month or $48,000 per year totalTaxes are $375 per month or $4,500 per year (this is higher than current but factoring in that they will increase)Estimated insurance is $200 per month or $2,400 per yearExpenses: Vacancy 8%Management 10%Other expenses Landlord pays water at $400 per month or $4,800 per year Realize this could be a cost savings in the future, but want to analyze as isGeneral maintenance (including minor repairs on property) including grass and pest control estimate at $300 per month or $3,600 per yearCapital reserves for Cap ex (appliances, windows (52 windows on building), roof, siding, etc. which I based on building a capitalization table based on useful life of items and number of units) at $460 per month or $5,520 per yearLoan: All in after down payment the loan would be for $300,000Assuming 7% interest rateAmortized over 20 yearsThus comes out to $2,325 per month or $27,900 per yearSummary Income Per Year:$48,000Property Exp.

You could potentially still live for free (your roommates pay your mortgage, taxes, insurance, expenses, etc.) and you are building equity at the same time by paying down your mortgage and you don't have to live with your parents. 

I bring years of experience flipping (started in 2011 in Sac) new construction, additions, rehab team, agents (real estate and insurance) and funding. 1 rental in EDH.