Consider this: If most of those listing go pending even before they hit the MLS and/or they have multiple offers, that's usually a sign that excessive competition is driving up the price.

If the amounts are in excess of amounts due the lender that is equity due the borrower/owner.

Not to be a deal spoiler, but if the property goes to tax sale the owner of record will get all the excess proceeds (assuming the mortgage is really paid off and there are not other liens).

This positions the borrower to have the UPB paid off and have excess cash for reinvestment into the subject asset to cover capital expenditures and/or any deferred maintance.

.- Proceeds are in excess of $11,000 ($5,500 ea for me and my spouse) and pencil out to be worth the cost of setting up any special accountThe main issues that I recognize are self-dealing and the contribution limits.Anything creative out there? 

The all inclusive lease can be very frustrating and perhaps you should have your lease modified to include provisions where if excessive use of utilities happens, then there is a provision to deal with it. 

You can put your rental amount higher on units where these utilities are included, and recover the cost that way, just have a clause in your lease covering excessive usage, using previous years as examples for what the utility cost should be.

*That may be excessive to some people, but I worked in the healthcare field long enough to know that even 500,000 can be gone in no time with just one severe injury. 

This can be offset by getting a 15 yr mortgage or taking excess cash flow from the Baltimore property and reinvesting in other assets or extra mortgage paydown. 

Would this pose any issues in terms of recovering money from them in the event of non-payment by the primary tenant or damages in excess of the security deposit?