This investment only makes sense as an investment under the following conditions:You can support huge negative monthly cash flow.You expect significant property appreciationYou expect significant rent appreciation.This purchase would have a huge amount of risk and I only see the upside if the appreciation continues like it has for the last 5 years which I think is unlikely.Good luck

There are two ways to play.  1. 

@Russell Brazil That’s interesting law there, if I interpreted that correctly.How about an example where, after inspection, the buyers communicates:“We have found additional blah blah blah, if the seller is willing to reduce the price by $5k we will continue with the contract.  

Continue renting and investing until you have more income than you know what to do with or have any use for then buy a home.

I am considering playing the long game with this property.

Normally the city or county will continue to bill the owner and when the owner finally redeems they city or county will send a check to you. 

Continue with the court process and get the judgement for non payment of rent.

We continue to read, network, learn and improve. 

The agent did not notice the running water and it continued to run for the next 4-5 days.

In my opinion much more restrictive flood zone code devalues these properties as it will seriously preclude investors from continuing to improve properties and make additions such as garage apartments due to additional cost in building and lot prep.