Good news is the market is growing dramatically causing a strong increase in rents & appreciation during the construction process providing excellent cash flow & immediate equity! 

Buying power is dramatically reduced with higher interest (imagine 3% of $500,000 is $15,000/yr or $1,250/month - now 6% on that same property is $30,000/yr or $2,500/month).Here in Utah, we're watching prices start to come down to match the buying power of people.  

There has to be other areas, cities even, that support a neighborhood of folks that speak the language - even moving from NYC to an area like Orlando would cut your spending dramatically.

If you're willing to take a little more risk then neighborhoods right next to the ones that are changing dramatically may make more sense. 

If not, using cameras, kiosks, and electronic locks can reduce your trips dramatically. 

Tax sales vary dramatically from state to state and the quality of the title and type of deed can vary also. 

Always do a rental agreement, this not only sets expectations for guests but is a legal document that can dramatically reduce time in court if it goes that way.

Keep in mind that a "eye for design" is good but not as critical as other qualities such as "smelling blood" (recognize a deal when it appears) - and even more important, to think on how to make it happen at the right cost (construction costs can differ dramatically, when you take non-local labor and know how to get the materials on cheap etc).

Each of these variables will dramatically change the advice for the individual asking this question.

Our market has seen a dramatic increase in activity and interest from NY residents.