There is a lawsuit against them as a number of people were in the same situation. 

Might be worth chatting with a CPA or attorney who specializes in real estate to figure out what works best for your situation.

You explained "STR arbitrage can be a successful entry point for somebody with the right situation".

There s no reason for anyone I do not know to park on that street aftern10 at night (or virtually any time).To get to my property you go through enough security cameras that it may rival Fort Knox.So ~10:30 a car alarm goes off.  

Florida did just have back to back hurricanes but a proper master insurance policy and coverage usually covers that type or perilYou are facing a declining cash flow situation which is due to the HOA fee's so while there is still a profit and you have equity sell and look for a 2-4 units.

We're dealing with utterly incompetent property managers, but once we solve that situation, it should cash flow well...

This tax lien investment looks like a win win situation once you pick a good deal.

Is there a funky property tax issue that arises with the collateral that is a local municipality error and can lender quickly analyze the situation, assess and articulate the risk and allow draws to carry on or will they make the life of the borrower miserable?

.: Quote from @Tim Delaney: That seems odd to me assuming you aren’t in a highly negative cash flow situation.

Any insights from your experience, whether positive or negative, would be greatly appreciated.The attached link explains the current situation with the Detroit Housing Commission (DHC), highlighting that they are severely understaffed and have limited communication with both tenants and landlords.