It might be a good option if you are flush with cash and just looking for a stable, decent return.

The toilet leakage is also not raw sewage, its leakage from the gap between the toilet bowl and the tank when the toilet flushes (because of high pressure flush).

Including the buy, we are talking about $30k flushed  just in transaction costs on a $200 k house.

Probably the best you can do is to base an offer on the information provided, then use the due diligence period to flush out details. 

Are you more flush with time or money right now, and how confident are you in the group of people you have working for you (your core 4), how eager are you to fix toilets, and what are your ultimate/long term goals?

Doing this would be one of the worst financial moves you can ever do in your entire life, you're literally flushing $150-200k

Most of what the inspector found I had already anticipated through my walk throughs, but one issue popped up was the third floor bathroom , specifically it leaked during flushing , both on the floor and small water cascade on the floor below The toilet did have a note on it saying not to flush , there was a drain problem , so the previous owners did know about it.

Hi BP community, For those that purchase properties on septic, do you have any concerns that your tenants (especially C-class tenants) will flush non-flushable items down the toilet?

Easier to install a 60lb unit, costs less, takes a lot less space, direct PVC venting (no need to maintain a chimneys), easy simple flush maintenance every year & the oldest we have is a 10 year old Jacuzzi & still running great. 

And since then, we've had our bathtub plumbing leak into the floor below, we've had to replace the toilet because water was coming up after flushing, and now we're having kitchen plumbing issues as well.I don't know if it's just the area, or if i'm just making bad choices when i review these properties. but after 2 years, we haven't made any money since we're spending significantly more than the rent brings in to fix all these problems.