I've called 20 banks in NJ and none of them will set up the account for me.Are there any New Jersey Brokers out there who have a particular branch, or better yet, a specific banker they work with who has set up an Broker escrow or trust account for them.Am I missing something here? 

If you have specific questions about the process or docs the title rep or attorney can help.

With the cost of the house, rehab and their own margin, there is rarely any equity left to pass on to the investor.

I've only seen a handful of property management agreements - curious on the general consensus as to whether a specific clause such as the one below is pretty much standard or not?

I think you're so right that it depends a lot on factors specific to each investor's comfort level. 

The only thing that scares me about this property is that margins are thin about 3k per year so anything that I missed may make this deal less desirable.

The margins for error seem slim on that, and you are essentially buying it for more than that.If opportunity is going to come to you at an inconvenient time for you, then it better be worth it. 

This loan type would be very specific on requiring you to have 2 years of tax returns if you are self employed. 

Advantages for me: slightly less paperwork, fast approvals, leeway if your credit score is borderline for a specific rate, relationships, flexibility to lend on properties that need significant repairs.Main con is slightly higher than average interest rates and shorter terms, for me at least.  5-6% and 20 year amortization is generally what I'm paying.Hope that helps,- Tom

If you are specific about what you mean by an "investor," an Agent will be more helpful.