There is sufficient equity at the numbers you shared to do so.When the owner of record (with the tax lien) sells the property, the tax lien will be satisfied from the proceeds of the sale from escrow, prior to the seller receiving any of the sale proceeds.

As always location is key.  

I sell a house that has underlying mortgage still on a land contract, which put me at risk for a due on sale trigger (understand the risks of note being called from many prior posts).2.  

The house is located in Ohio, I'm not in the area and don't have a strong local network there for lenders.

I know it comes down to screening but if the home isn't in a favorable location, how hard would it be to market to decent tenants?

Depending on the location you could probably get a reasonable hard money loan since only 30% would be ahead of them so not a bad deal.

Example of a Superior comp:6727 Johns Ct Arlington, TX 76016My property that is located in an secluded area consisting of only 25 homes:4006 Shores CtArlington, TX 76016 

@Dave Holland unless the property was placed into service prior to the rehab taking place.

the pre rehab is generally and all cash purchase with you putting up the rehab funds then doing a rate and term refi.. this was the norm prior to 08 in the turn key space.  

Do you have in the contract that you need access to the property prior to closing?