Most large property owners and Property managers make it part of their Insurance requirements. 

@Kenidi Robinson, build rapport with distressed property owners ASAP. 

Buying a tax lein is paying the unpaid taxes in return for a guaranteed rate of return from the government until the owner pays the taxes.

There is some consensus amongst major owners/operators that prices are very near the bottom (maybe this is positive thinking, but this group also sets the market by being the major buyers and sellers).  

Not in Texas.QuonticRed Canoe Credit Union, WA ORRegionsRiver Bank & Trust, ALRivermark Credit Union, OR 90% LTVSCCU Florida 80% LTV, 2.75% first year promo, not LLCSECU NC 65% LTV rate 2.75% Oct 2021Signature Federal Credit Union 75% LTV (100% on primary residence), VASilvergate Bank, CASound CU "non-owner occupied HELOC, capped at $150K and interest rates are prime + 2%, 3% or 4%, based on credit, not to exceed 70% ltv."

This is assuming the Providence area.Your taxes look like you are factoring is non-owner occupied.

I see small commercial in the same city that trade between 5% and 18% cap rates because net income isn't the only factor for small investments where the owner may do a portion of the work to operate the property and the buyer will use employees.

Here are some more details...The property has a $40K+ water bill.The water company has informed us that with foreclosures, the new owners are not on the hook for past balances.so the lender/trustee is responsible for rectifying this... and the balance is so high they're delaying until they figure something out.Aside from that bill, there are no other encumbrances and we're able to get clean title with owner's title insurance.We got in the deal with cold, hard personal cash.We have a balance, which is {AuctionWinAmount - DownPayment].This balance accumulates interest until we close.so we have equitable title, but the property is not deeded to us until we close with the trustee.

Just re-read your post, I had missed the part about it being a loan from the owner of the self-directed account and not an equity position! 

Owner financing can be a great option, I have purchased properties that way.