I highly recommend checking out this blog post and considering these states for your next investment. 

Honestly if you are never planning on moving back to the house (or the area), you are not going to cash flow especially after you add in insurance, repairs and maintenance (assuming property taxes are part of your mortgage).You have a friend willing to buy it off market-double check fair market value and sell it to them.

We checked out some higher end condos right on the beach but it never went anywhere.

I do get the rent in checks and transfers currently to my personal bank.

What kind of savings do you have so far?

I checked with my realtor, who also checked with her broker and they felt that the personal contents transfer to the new owner of the property at settlement.I realize that I'm standing my ground over a $200 lawn mower, but feel like if they were given the items, they should've been removed in the months prior to the owner I purchased the property from listed it for sale and also settlement. 

Find, copy, keep, all the lady’s checks to dad for the place, daddy Deposits into bank, etc., to prove she wasn’t a squatter who can claim adverse possession, sue her for the money you had to pay (need to keep your name and other assets clear) on the foreclosure.

Kind of an interesting concept.

I invest in Memphis, TN, and I've checked several of the sites (Hubzu, Williams, Realty.com, etc).Is there a site that you'd recommend using?

So i would check out the local government for section 8 payments in your area.