Current NET at 81% is about $33k, so rent o meter is certainly off (which gives avg rents for an Area, not a Property), plus owner may be paying all utilities.  

Having spent 17 years in law enforcement myself, I have a pretty good B.S. meter and it too has served me well and I live by the mantra of "Trust, but Verify".  

If you check the breaker box, you may find that the electricity is off at the box, but on at the meter.Likewise, the water company often doesn't lock the meter, so you can turn the water on at the meter to test the plumbing, and then turn it back off when you're done.

There is one water meter shared between units.Am I able to charge a monthly set amount for water from the tenant?

My point is yes, “shoddy” (your words).To reference some examples - they put in a new water heater and when my PM went to get the water turned on by the water company – this is what we received from water company…..WATERCANNOT HAVE STAB FITTINGS OR PLASTIC PIPE BEFORE METER, GASHOLE IN CHIMNEY FROM OLD WATER HEATER VENT NEEDS SEALED AND CLEANED OUT DOOR MISSING NEEDS SEALEDI paid to fix it so I could get it turned on and rented.

The lease is very basic I have to pay the electric they cover the rest each unit has a meter so not sure why I pay the electric but the cash flow is over 900 a month this way and they seem to be happy with they way it is.

Also, you should look at using some of the repair/CapEx fund from your first year to just pay to have each side metered..

Count water, gas, electrical meters at the inspection; and 2.

If so, how will you handle hot water, heat, water and the need for sub metering?

Are all utilities metered separately?