Completely off topic, sorry.We are nothing like you big guys Jay, but I am looking at an area that is a definite C on the border of D and B.

I live about 10 minutes from the Indiana border which has very low property taxes, but our realtor says there's no point in trying to invest there because the market is over saturated with investors making it nearly impossible to obtain a property.

You need the advice of a cross-border accountant - a professional that understands US and Canadian accounting and how they interact. 

I believe I know the house and that's right on the border of Weehawken and Union City, so I think those rents are pretty good--may depend a little bit on the condition of the units (those rents would be high for Union City, but your proximity to Palisade Ave helps a lot, and also the Weehawken address).

And most critically, we've had to explain the sizable amounts of money we've spent overseas and on travel expenses - as our first daughter is from Colombia, and our other two are from a country bordering Turkey and Iran.So yes: we've traveled extensively to countries with colorful histories, and have large transactions of cash in and out with some degree of frequency - we're the perfect borrowers :-)

If you don't know where this is, it borders both Washington, DC and Northern Virginia.  

I wonder if they'd be as interested in the property if there's a lis pendens on the title, or whether they're doing anything that is bordering on illegal by trying to coerce the seller to not honor the contract?  

I mostly invest in mobile homes which are usually on the border Bexar county and drive atleast 30 minutes to find my deals. 

I would register a corporation, roll your profits back into the corporation for future investments and avoid the cross border taxes.

Particularly the restricted zone which is land within 50km of the coast or 100km of the borders requires property to be bought through a trust you cannot own it directly.