That is tight leverage for an investment 2nd position loan.A private investor might be willing to do it, it's not going to be cheap at all & will be short-term money & will not be a line of credit to take out at your liking.What is your rate on the 1st?

Most all of the cheap rust belt cities are going to have declining populations.

If it's cheap, high crime area, proceed with caution. 

Cheap is expensive!

Am I being cheap?

How much weight do you give to the cash flow benefit of cheap debt when the property is priced above market?

You can purchase a cheap camera with a built in cellular connection: Cheap 4G Camera All this needs is a SIM card.

A lot of out of state investors see super cheap houses on Zillow and don't look at why they are so cheap.

I don't think the future will be kind to the investors who bought cheap houses in a big community of other investors. 

So - somewhere 2 hours away, or somewhere you like to vacation in, or where all your family lives, or where you plan to move someday.Too many people are trying to do exactly what you're doing - pick a market based on a formula - and they end up buying a random 'cheap' property thousands of miles away, turn it over to people they've never met or even spoken to, and then... lose money.