The roof was leaking in multiple areas, the ceilings had collapsed, HVAC non functional, plumbing non functional.

If the deal collapses and I would lose everything, I'm out.

Did you own any property in the 2008 Collapse of our Economy, when property values in Tampa lost 60% in two years?

Such setup does not pass a smell test as far as "for profit" operation and will collapse if audited.If there was an easy way to convert suspended passive losses into deductible non-passive losses, we all would've been doing it by now.

I had one of those back pressure sewer valves put in $500 installed.It made a BIG difference as the insurance co didn't want to include coverage as the home had a claim in the past (b4 I owned it, & the city sewer backup was not the fault of the home owner).In my area if it happens you're responsible for the temp accommodation of the tenant(s) until it's cleaned up.Since then the only blockage we had was viewed via camera & found to be a city clay sewer pipe collapse.

Yet in this world you can only control your own actions, and leave it to others to maintain their own degenerate, noxious and depraved state of affairs.In taking on this role complete with the unique privilege of executive arbitration between these tenants and the city government, one encounters a mutually synergistic mass of stupidity concentrating upon itself so far that even the neutrons have collapsed.

I have heard that there is more red tape to foreign investors due to the housing collapse . . . is that the case?

Totally get that the Cape and Islands are their own world (Actually probably 3 worlds...) but they are their own very small world that would probably at best generate a couple posts a year, so this is the only logical place to put them.If this is to many then frankly you keep the 3 eastern ones and collapse Central and Western MA into one.  

The other OP was quite convinced that there was a lot of appreciation potential in boat slip values because (a) rents have been going up although prices have collapsed and (b) there are restrictions on the supply of boat slips and it is not easy to get permits to build new ones.

When that collapses, you're stuck with a sheepish grin and a lot of unhappy people.I think we will see Zestimates "correct" for the next 6 to 12 months while they sort things out and try to keep the SEC (and investors) out of their offices in Seattle.