I think I am starting to figure this out due to all the great help here on BP and some great books on SDIRAs too, but just want to make sure as we are some serious talks with a motivated seller about our next purchases.I understand the concept that when I use leverage in the form of a non-recourse loan in a SDIRA that their will be tax due on the percent of profits that are *related to that financing*.

Very often the property will be reappraised right after the close of escrow and, really, which way do taxes always head?

I spoke with the county tax assessor and they haven't even charged taxes on it since 2006, this property truly fell through the cracks.

I've never been a fan of Texas mostly because of the high property taxes and it seems everybody else like Texas.  

I will have about 20,000$ on hand after taxes and fees.

How do my tax savings factor into the analysis?

We are also familiar with using TAD, Tarrant County Mega, and the Tax Accessor websites to verify ownership. 

Just waiting 3 years for that depreciated market will cost you more than your total profit when you factor taxes, closing costs, depreciation recapture, loss of further depreciation and expense write off, and lost rent (8K a year is nothing to sneeze at)If you really want to sell now then @Ralph R. has the right idea - do a 1031 exchange and shelter the tax.  

Are you talking about tax sale or mortgage sale overages?

We kept the first one for two years before selling to exclude all the gains from capital gains tax.