Any other red flags to avoid with purchasing rehabbed properties? 

From our experience if it was not a property deficiency or operational failure caused by the property or outside source (neighbor or rando)- the tenant is liable for the charges- property management or vendors sent to resolve the issue may troubleshoot the issue to help the tenant avoid these no work done maintenance charges.

It's definitely important to get as much information out of the listing agent as possible that way you avoid showing places that won't even work. 

I guess it is difficult to avoid the tax man in my case.

Parents did not have income/money to cover property. to avoid foreclosure, my in-laws asked my wife for financial help. the house was refinanced in 2011 by my wife who had the deed transferred to her name at that time. we have been managing this rental remotely since that time.

ISO good to knows and things to avoid n forming an LLC; for example choose manager managed?

Since you have $25,000 liquid cash, your purchase price would need to be $125,000 or less to avoid PMI. 

Do your due diligence but try to avoid analysis paralysis. 

Because I had no way to see the property throughout the year, we had a lot to deal with during turnover that could have been avoided.

Is there a way to avoid it?