So then basically you are buying the land for 400k, then demo (whatever that cost is) and the build new. 

Pay for your buy through normal loans, big bank loans, small loan options, or a mix of loan types.

I've been interested in buying property in Cle Elum and would probably do some sort of vacation rental.

Are you buying to flip or keep as a rental?

As far as taxes go, selling it to you or on the MLS is still selling the property.If the owner includes it in their Trust, it can typically be inherited tax free if it is not sold.To buy the property, I would probably go for a lease option which is not counted as a sale, so no taxes are due.

The closer you get to the 1% rule means you'll be buying an old, fixer upper, in the worst parts of town.The other real trick is finding 4plex. 

I buy it from Lowe's by the 5 gallon bucket and have been using it on all our rentals. 

I’m looking to buy owner/operators’ property management businesses across the country.

That would be very typical work an investor would do when they buy a tax sale property.

An obvious solution is to buy properties that have a market rent of $1550!