So maybe the combo of having a decent amount of money in reserves and being up front with the banker about the potential for your property as a rental will help.  

A bank has a property and the asking price is to high for the amount of work.

These can eat up a significant amount of water.Shut the water main off and see what happens.You can also contact the water company, explain the home is vacant, and ask for a credit.

Now, after 9.5 years, she said she could get a loan, but wanted to only pay me the amount that the amortization schedule principal showed that she owed ($96k). 

There are a few vacant lots nearby that have not yet been developed, though one party paid a significant amount for a lot about 2.5x the size of this one, so that at least provides some basis for comparison.

As such, this new tax amounts to triple taxation on short term rentals. 

Same amount of work, same.costs regardless of property price.

Please let me know what you are using to get your properties in the most amount of places as possible. 

What amount above regular market rental rates?

Please click on the links, give them a read, and share your thoughts in the comments.First is a post that I feel will help not get overwhelmed with the amount of info that is here on BP:https://www.biggerpockets.com/blogs/5868/52761-the-simple-guide-to-getting-started-on-bp The second is a post that will help get you focused with your real estate investing goals:https://www.biggerpockets.com/blogs/5868/52743-im-new-to-bp-any-advice-would-be-appriciatedThe last one is a post that will help you choose an “investor friendly” real estate agent.