Does it create water problems inside the home or even a propensity for water problems?  

New roof, windows, water heater, and complete interior rehab.I can rent it for $1300/month and will refinance pulling all of my cash out for a 30 yr fixed PITI payment of around $650.My questions is do these numbers make sense for a long term buy and hold or should I flip this with a sale price of around $155-160?

I did my numbers and came up with a fmv of 23k so i was able to talk seller down to 12k from 25k...rent  is currently 425 a month my plan is to wholesale it as is investment property tenants pays all utilities  except water and sewage.

House tenants pay more utilities like water, sewer and trash than apt. tenants. 

If the tenants don't pay it, then the water company should shut off the water and it goes on their credit. 

Once we started construction, we ran into several major problems including a steam pipe running through a kitchen wall that we were planning to open up, a huge leak inside a couple of walls that required the replacing of a whole exterior wall, damaged subfloors, major termite damage that resulted in a replacement of the sill plate in the master bedroom, needing to upgrade full electrical service (and split it into two separate panels) and a corroded water line that required emergency replacement all the way to the street in the middle of winter during record setting cold temps and a snow storm.

The property needs a new roof, two ceilings have severe water damage and there is some mold.  

So I'm moving on, I'm trying to do a 100% seller finance deal today on an 8 unit apartment, in light of no one else coming to the table, we'll see how that plays out.

Why would they leave 60K + on the table?

The most major appliance it has saved me from was a new water heater.