I have looked at both Tax and mortgage foreclosures to see what is the best option at this time.

They are going to write up a field estimate and are willing to (usually) pay you (the homeowner) or your preferred Contractor that money for the repair.  

MBD is now in chapter 7 bankruptcy with at least $18M of investor money missing.

If I close on the property subto, can I continue her delinquent tax contract of 1k pr/mth or would the taxes now transfer to my name?

my returns, after taxes, were only about 2.7% 

Once I have enough money for a down payment on another property, I plan to turn this property into a rental and move into a new home.My question is about planting a privacy hedge (Clusia) around my backyard.

I have some properties in mind that I think would work well (both short and long-term) but I don't have money for down payments.

Maybe refinance in a few years and buy your first investment using the money you’re going to get out of refinancing?

However, its highly unlikely that an owner will keep a dog property, that loses money, constantly requires repairs for 37 years. 

If you do not own a primary home its easier because you can claim any 2-4 unit as primary and only have to put down 3.5% for FHA, 5% for Fannie Mae or No money down 100% of you are a Military Veteran.Live in the home for 12 months refinance pull some cash out and move on to the next property to buy.