The damage though appears at least 50-100 gallons were gushing out as extensive ceiling, flooring damage occurred. 

It may just damage the appraisal or the bank my refuse to lend, depending on lender policy. 

A year later, we bought a single-family home a block away for $120k that we renovated and rented out.

It is right across the street from the beach (you can walk to it in less than 30 seconds), so it is very close, but one building in front blocks most of the view of the beach.

Purchase price: $300,000 Cash invested: $45,000This house was the ugliest on the block, but we saw it had good bones.

It would be interesting to hear your experience on damage done to the house.

It's mostly a market for the corporate investor in multifamily--think blocks of garden apartment complexes.C is lower middle class and lower class but safe. 

You can use both months of security deposit to cover damages.

You also have some new development happening in the area.The first property and second property are just 7 blocks apart, north south along the same cross streets.

Two of the shower curtain tension rods were just plain missing and they had all ripped up the paint quite badly, so I decided to replace them with permanently installed shower curtain rods, and then I provided liners (in tan, not white, for longevity) that I affixed to the wall with velcro to lessen the oversplash damage, which came to about $28 per bathroom with tax, including the dollar store shower curtain rings.