Can't speak from experience though as I have not had to use one yet (knock on wood)

I'm assuming these deals are up in your neck of the woods?

@Chad Bowman - I looked at loopnet, but I was too cheap to buy their premium listings and most of their properties wouldn't work for VA (needs to be 4 units or less).

We asked them to drop the price by 2500 and they accepted to drop it by 1500 (the insurance premium only went up by $32/year and the tenant left 2 months later anyway). 

That could be at a 20% discount or a 20% premium.

Its a great business if you dont mind tieing up your capital for a year or more with no income while you pay taxes on your land with the hope that the development is a success and you can sell your land for a premium.

Top floor is livable as-is but the kitchen, bath and wood floors need major overhauls.  

Its not at all strange for an agent not to return phone calls in my neck of the woods - to investors or otherwise. 

I have paid premium prices for properties and still made more.

Here are the details on the house:The Good-Located in Hunterdon County NJ in a desirable town/school district-2 bed/1 bath-Attached 1 car garage-1/4 acre lot-fenced back yard-Hardwood floors-Central air, newer oil furnace/wood furnace-30 year roof put on 7 years ago-450 SF of finished space in basement, carpeted with built-ins-Full perimeter foundation drains and two sump pumps (basement has never seen a drop of water)-New gas stove, dishwasher, and laundry machinesThe Bad-Mortgage balance is about $222K @ 6.125% - House was appraised last month at $220K-Current PITI is $2345/month-$1495 Principle and interest-$615 Property tax (Taxes are very high here)-$60 Insurance-$175 Private Mortgage Insurance-Normal rent for my area on a 2 bed/1 bath is only about $1000 a monthDo I have options here?