- The percentage difference is the percentage the taxes will go up after you buy it.What do you mean by the property has HVAC AND boilers? 

I want to go the buy-and-hold route, and I am interested in finding a duplex that will provide a steady cash flow, a high appreciation value and does not need renovations.

A good Realtor that knows investing should be able to connect you with a great PM in the area where you plan to buy.

Our goal would be to buy something in the next 2-3 years. 

Im really interested in buying some cashflowing rentals in Ohio, Indiana, Arkansas, maybe the Carolinas.

I can explain why, because I buy Subject To.

Those that cannot weather the storm get wiped out.Having cashflow positive properties provides a margin of safety you just do not have with negative cashflow.Why are you focused on buying in your backyard? 

These increases are not direct costs like buying toasters from China, but rather input costs.

We can buy the house for maybe 125k and he estimates 120k in renovations.

As long as the lender can finance in the state that you want to buy in, then work with them.