It sounds like a FT job to manage the property fixing things. 5% of 360 days(18 days/year) with major overhaul sounds low.

Not only that, but the unit needs major repairs and the tenant is not "quality tenant" material.

The majority flock to the turnkey markets as you are.

It seems that a major point got left out of all the other responses...

It's still my favorite strategy and the one I use a majority of the time, with a few fix & flips sprinkled in.

@Alan HowardWelcome to Bigger Pockets.There are meet ups in most major parts of michigan; depending on where you live;  you may be able to attend these real estate networking events. 

You can negotiate around some but in the end the investment is worth it to know if there are major issues.  

However, the vast majority also have pretty poor volume.

Better have an escrow account in place with the amount of rent you are withholding in it before you try that stunt with a Magistrate, or you will get tossed out and very likely have a major ding on your credit.Remember:  ignorance of, or inability to understand (or agree with) the law is NOT an excuse.

Offer : 239KDown Payment: 47800 20 percent Closing costs : 5000 Monthly Mortgage : 1013.00 per month Property Taxes : 3446 per year / 12 = 288.00 per month Current Landlord pays for water : 275 .00 a monthProperty already rehab no forseen major cap ex within the 4 to 5 year mark.