Meaning if you expect the new water heater to last 8 years and it cost $1,200 to purchase and install then it cost you $12.50 per month on average and that's the number you should use when calculating monthly cash flow.Being hit with a lot of capex early on when you own a rental can have an impact on your reserves for sure, but the nice thing is once they're done you should have X years before the same expense comes up again.

However, after about 3 months of crunching numbers, it just wasn't working out the way I wanted.

It costs 75 dollars a month even if you dont use any water!

One option is you can use a DSCR loan and pull out 75% of the appraised value, you get to retain the asset and you should be able to cash-flow a couple of hundred bucks a month. 

Who do you foresee will rent this for a few months?

Hey Jason,A master lease to a reputable company may very well be a good option.If you are looking to do LTR I would suggest a move-in special. 1/2 Off the first month's rent, etc.Are they all the same layouts and finishes?

Performing notes like many have mentioned before are safe and boring BUT they pay every month.  

I cannot understand how a P&L would not exist in some form for each property, or at least monthly operating statements or a pro-forma.

I have been attending Space Coast Investors, at 524 N Harbour City Blvd the second Wed of the month at 6:30.  

I think he would like the steady income too, so parts of me has thought of writing up a unsecured loan agreement with him and just paying him out monthly to give him some reoccurring income vs a lump sum, but then I believe he would have other pay taxes on that income vs inheritance.