you should be mad at the OP trying to compare Detroit to a military town in Texas

But in many Turn Key markets and I think what the OP was trying to get at is once you buy a turn key how do you sell it.. and of course you would put it on MLS... however in many markets were turn key is popular MLS price's are far lower than turn key prices and  as Curt suggests it could take years before the market catches up and one could sell and be made whole...but same is true most place that do not have rapid appreciation .. selling costs will be a loss if you need to exit within a few years of buying

Stop the confusion.The OP states he has a Seller of a Contract for Deed where the previous Mortgagor resides in the property and the Seller also holds a Deficiency Judgement for same debtor.The Deficiency Judgement can not attach to the real property which is under Contract For Deed since the ownership of that property is vested in the name of the Seller of deal.  

Most are too embarrassed to admit it, but others such as the op raise hell and get some of their money back, but more importantly they talk/write about their experiences which help deter others from throwing away their money!

It's like my buddy working for a local co-op always says - we (the banks) don't care about much else as long as we're getting paid each month. 

Not saying the OP of course is this.. but many who posted following on and the many post I see where they rag on brokers like the broker has nothing better to do or has some sort of OBLIGATION to a investor buyer who is just slinging contracts. 

It's very, very market specific.The OP says the seller bought this property at auction, which may mean tax sale auction.  

Moreover, what are you (OP) trying to get out of this?

Mark:The OP is from Canada and in this country retirement accounts can hold {Canadian} mortgages, but not actual property.

Reserves are NOT operating expenses as in the OP's #3.