Even if landlord paid all utilities the gross should be 152,064 at Section 8.Asking price 299k/ last sold 2013 for 170k Any thoughts on what may be going on here?  

@Brian SpatzSome of my clients have credit scores in the low 600s and still get double digit million dollar loans.

They are currently over valuing the park and it looks like the only way to get a good deal is to utilize a hard money lender in town and make a cash offer.

It seems like a sweet deal to purchase a house with a Rent to Own tenant as they pay for utilities, repair and maintenance - and I wouldn't need a property manager since I am out of state.

Do we have (state by state) benchmark utility cost data I can use to compare my bills to?

You can use a custodial account or if you wish to have more control special purpose LLC can be utilized to gain checkbook control and minimize custodian fees and eliminate their involvement in the investment. 

@Willie R.I agree with Account Closed that title companies in Texas utilize Texas lawyers.

Have you utilized the BP Calculators to assess your rental business?

Where are your expenses for legal, advertising, janitorial, utilities, etc. ? 

The utilities are still in and the survey has been done.