And no, the property taxes are not "baked" into the reserve price as they cannot recover those, unless they were already advanced by the lender. 

The number one reason is the equity in the property is much higher and the banks know that they will have no problem collecting the mortgage, or recover their fund in the unlikely event.

It's funny you say this as 5 years ago there where only very few investors interested in the Toledo market.As inventory has all but dried up nationwide, folks are starting to look elsewhere.And some of those "not so sexy" markets back in the day like Toledo are finally getting a tonne of attention.I caution investors looking at other markets than the Midwest.Prices seem high and deals are very hard to come by.In such instances it's always good to have dry powder ready for when the tide turns.Toledo in my opinion is still a safe bet since I haven't seen it recover anywhere neat to market highs of 2006.Here are some of the key areas that we invest in and where all of our investors are buying:436064360743609436114361243613I'm also attaching screenshots with outlines of the exact location within our target zip codes.As with any investment or business.It always comes down to finding and working with the right people.The market stats/demographics don't work for you.The right people do.I hope the above helps anyone looking to invest in Toledo.Much success to all :)

If you over pay in the beginning it is hard to ever recover from that.

Take the cash you put into the deal, and calculate how many years it will take you to recover that cash. just from your cash returns... your cash flow. 

.- FANNIE and foreclosure statue in my state (GA) allows me to "recover" my expenses through servicing, protecting, managing this note. 

I'm actually going to turn the 4 BR 2B into a sober house for recovering drug addicts/alcoholics - I will have 8 tenants paying 400.00/month.

Within that cycle each state had recovered differently.

If you are discovered, as a few landlords recently were, you could not only face a lawsuit from your tenants where they could recover the increased rent they paid, moving costs, etc., but you may be liable for punitive damages. 

It doesn't take too long to recover the extra closing costs.