And fly to the area multiple times - if you can't afford to do this I would say someone isn't ready to invest OOS (any potential property issues are going to cost more than a flight, hotel stay and a rental car.

What I paid for it + the cost of the improvements (~$200k)2.

Any idea on what would be the per sq foot construction cost for this project?

To me the cost of note servicing seems cheap compared to missing out on even one good deal per year.

Understand the fees involved and calculate the total cost for an entire year of management so you can compare the different managers.

The owner has been letting an undocumented family live there and try to fix it up at the cost of the family and charging them rent.

There are cost tied to prolong rehabs. 

You have to register, but there is no cost associated with that.  

You will have much higher cleaning/maintenance costs, higher turnover, unpaid rent, evictions, etc.

Hey there @Javian Moorman - Did you ever end up finding a quality and cost-effective countertop contractor in Chicago?