In reading through the policy documents provided by Stewart Title, it appears that the ALTA Homeowners policy we purchased:"This policy covers only Land that is an improved residential lot on which there is located a one-to-four family residence and only when each insured named in Schedule A is a Natural Person"So....looks like I bought the wrong type of policy?

We engaged professional management and are currently making capital improvements to renovate and upgrade units and resolve deferred maintenance.

It doesn't get us all the way there, but it's improved our NOI quite a bit so far and as many of the current tenants leave we can change this even more if we need to. 

I believe it's an advantage to do a live in flip as you can go at your own speed and make improvements on your own schedule and even do some of the work yourself and gain some experience. 

If done, it will:  improve the curb appeal , lower maintenance, create more privacy,and add rv parking.

Who will pay the taxes on that portion of land and improvements ?

They have lots of videos on youtube about it. 

By Oct or Nov the names and parcel #s going up for 3yr back taxes are posted for the December auction.I would send a generic postcard to the ones that actually had improvements on it that appeared to have equity. 

Previous money that my wife and I spent in rent ($1200/mo) now goes to improvements.

So the deal is not as home run as it seems, though still a solid investment if you don't have to knock out a bunch of capital improvements right off the bat.