@Sharon Rosendahl you are 100% correct that if your state has a lower tax rate than the state you plan on investing in it should be a concern. 

Generally one must have a property at least under contract to even get a GC to bid the job.

In my area, most general contractors will come bid a potential job for a nominal fee ($75-100, applied to the project if you buy and use them) and take as long as they need to come up with a detailed bid.

@Ryan Moret The first thing that jumped out at me was that foundation work was done in 2008 and 2012.Presumably, the 2008 work corrected whatever issues were present at that time. 

Lending money can not be a hobby it must be run like a business. it is very important to lend money  correctly otherwise it can be devastating.

How do you know these numbers are correct?  

The minimum bid at the auction is an amount slightly above what you already have out pocket....if no one bids that high you get the property (at a price higher than anyone else was willing to pay).

You are completely correct.

@Joshua D. are your numbers correct?...

Am I correct that an LLC has to be in place to take that deduction?