So at least $175,000 in improvements, which would have to be cash out of pocket. 

I'm looking at a property with two buildings.The first house is very well kept and reflects its fair market value - no substantial room for improvement there.

FHA 3.5% down would be a good loan program to use so you can save any remaining capital on improvements. 

Sounds like you've made some nice improvements to your property!

I know repairs and improvements are a deduction, but not what I'm focused on here.Let's also say rent is $1100/month.

This market likely won't improve for at least the rest of the year, so the window isn't likely to widen any time soon.

This not only improves supply, but creates new opportunities for real estate investors.And, based on the above Fannie restrictions, they’ll need new opportunities!

Forecasts provided by the National Oceanic and Atmospheric Agency that extend through July 31 show no projected improvement in the region’s conditions–and indicate that some areas farther south—including San Diego County—that are currently experiencing only “abnormally dry” conditions rather than an official drought, may worsen into drought status.Phil Spector’s Castle Sells in Alhambra.

I've never gone through the process of having a tax sale annulled especially after improvements have been made to the land and the exact way it is handled will varies from state to state so your attorney can find out for sure how this impacts you if you were to go that right but it could be messy. 

The other item I wish I would have started improving earlier in my career was to get my personal finances under control.