There are a number of things you need to consider when investing in ANY market when doing so from out-of-state, and Nashville is no exception. 

Self insuring except the bank won't allow that. taxes of $200 per year when I would expect at least $2500 per year.

We went in $60k under asking close in 30 days, no conditions & we got it.Did some rehab & the cash flow is now exceptional, with nothing under $800/month.

@Corey M. with a few exceptions, you cannot do a conventional cash out refi on a cash purchase without waiting six months, or "seasoning" your acquisition. 

Pete except slightly higher costs. 

The worst thing that could happen is that you buy a cash cow, then the major employer in that area leaves taking with them a great portion of the population, and now you have no exit strategy (except to sell at a huge discount).

After receiving no correspondence from whatsoever from the tenant, after the allowable 14 days (as stated by Alabama State law and the lease agreement), I went into the unit and it was all moved out except the smelly, outside bin for garbage and a pile of what appeared to be junk was in the middle of the living room.

A good rule of thumb is to never pay these and avoid any lender who charges them (except for perhaps large commercial loans).

But of course there can be exceptions if you find a good deal. 

Thanks for an exceptional post on the subject, Chris.