What I think I hear you saying is that the best way to protect your capital investment against a potentially unfavorable interest rate move in the future is to buy at enough of discount to market now, and then add enough value to the property, so you can refinance it and pull essentially all of your capital out of the property. 

Purchase price: $175,000 Cash invested: $76,000 Sale price: $335,000 Situated within Moreland Street Historic District!

I checked to see if the school districts had recently changed.

Essentially by selling the property to the corp the note should have been paid off.

Based on what other people are saying, if your pref is based on IRR, your investors would essentially have a negative return until you've returned all of their capital (most likely happens at sale or refinance).

We're now in a psuedo foever home in a nice neighborhood and school district. 

Part of me wants to turn to my brokerage accounts but that’s essentially a gamble.

People are going to essentially bid up the price because the demand is so high but the supply is so low. 

Anything in that range on the market is essentially a tear down, or like Rick said in a really rough part of town.

So I recently saw this link on my county website concerning LID foreclosure... with next to NO information given regarding what it is, how it works, when it's done, or really anything else on the matter. 15 minutes of google searching yielded ONLY what LID stands for (Local Improvement District).