You can insure the home through a carrier offering NFIP policies (read more about that at https://www.fema.gov/flood-insurance) or through a carrier offering private flood insurance (Compare NFIP to Private flood). 

The cost of public water and public sewer bills have increased drastically.

yes, typically a sign of hard water, may need to add a water softening system. 

Flood insurance is only required (by lenders) in a flood zone but you can typically purchase very affordable flood insurance when you're not in a flood zone. 

Totally depends on the property and some things vary by state as well.In addition to some of the things @Mackaylee Beach mentioned some policies add coverage for service lines, backup of sewer/drains, or separate policies for flooding.

Value added by turning a 3 bedroom, 2.5 bathroom into a 4 bedroom, 2.5 bathroom This includes new roof, 2 new HVAC systems for split units, water heater, updating electrical/removing nob & tube wiring, plumbing updates, 17+ brand new double paned windows throughout, leveling out the flooring and adding hardwood throughout the entire property, replacing all drywall on walls & ceilings with over 100 new sheets, gutted both bathrooms to update tiles/vanities/ tubs and showers with 2x1 tile throughout for a modern feel.

Hi Cameron,There are several important factors to consider before purchasing a property with prior flood damage:Historical Flood DataThe National Flood Insurance Program (NFIP) keeps individual property flood history private, making it challenging to access complete records.

On the day of final walk-through before closing, I noticed a small water puddle around the cove joint in the basement.

Did the water company say anything about that? 

Heat and water are included and I'm thinking about adding an additional fee to cover some costs for the heat or water as the rent prices I'm charging are pretty much on the high end.