If the property appreciated a lot over the past 3 years, you may want to consider selling it and taking advantage of section 121 exclusion.The locked in tax savings from the sale will likely be higher than the income that you get from the property.Another thing to note is that there are normally 'extended' 121 exclusion time periods for those in the military who are required to move because of orders.In general, I am bullish on the Jacksonville area.

Then they said those households had more than $7billion in income they brought with them, saving over $700 million/yr in state income tax. 

Ashley recommended this property to me as a class B property and mentioned super low tax rate as a bonus point. 

-Lastly, if you are not local and have a full-time job, get ready to spend time on projects, you will need to meet contractors, vet them, and work with them.Regardless of all this,--if you have a good mortgage rate/no mortgage or--you are in a situation where you can dedicate plenty of time or--Poconos is like your family's go-to spot or--maybe this is Tax strategy move for you It can be a worthwhile investment.

Do you think financially it makes sense to continue to hold the property take advantage of appreciation, tax benefits and the cash flow?

Foreclosures, absentee owners, probate tax liens, NOT motivated sellers.

Some have told me that they get taxed at lower capital gains tax rates, while others have said you get a 1099-DIV which would get taxed at ordinary income tax rates.

Now I need to get in touch with an experienced CPA that can help me setup any legal entity i might need to properly report all rental income and pay taxes on the Mexico property and the Colorado property. 

I have a question regarding tax lien auctions: If one wins an auction for a property but the owner files a redemption and clears the debt; what happens to the money paid by the winning bidder?

Learning about and preparing for taxes with Quick Books Online.