Once you reduce/eliminate this debt, this property could be a great aid in getting you to the next step. 

Even if it could be, it’s unlikely worthwhile to pursue in terms of time and cost.

The sample looks a lot like the seller (or seller's agent) found some calculation online and punched it into a formula ignoring performance in real life.If you're a potential buyer looking at investing in this property, take a deep breath and take a step back.

Are there other options we should be pursuing or people we should be talking to? 

The first step, I would recommend, is looking for a local real estate group to attend to network and learn more about the industry and your local market (unless you are looking outside your market). 

We brought a plumber to deal with the issue of water getting in, but they cannot fix the issue until Tuesday, as I landlords what other steps can I take to keep the tenant and the house safe.Thanks in advance.

That will determine the next step.

I’m going to go get licensed and everything by the middle of summer but after that I am somewhat lost as to what the next steps would be.

You have to be committed to being better than everyone else in your industry every step of the way.

If you are really worried about lawsuits, liability insurance is the first step.