My name is Seth, and I decided to join the BiggerPockets forum this year as I am looking to purchase a single-family home to house hack later this year.

I guess the idea is to use the equity from one property to purchase the second property, and so on.

Use the information you have and determine what they can afford.

Quote from @Eli Fazzo: @Will Gaston for how many investment properties can you use this 25% exemption? 

Purchase price: $645,000 Cash invested: $60,000 Two Unit property with lots of living space3000 sqftOne parking spotBrand new kitchen addedW/D in both unitsGood for Long term / Mid Term / Short Term What made you interested in investing in this type of deal?

I've also assumed VA loans where little cash was used (seller had low/no equity).

Also, the language you used is very vague and could be argued against it. 

We would take this house in return for a 500k property that is NNN leased.  

Do you have property managers and contractors who your clients have been using for over a year successfully?

I had never fallen for a scam like this but Dutch is really believable and uses the God and country stuff to entice investors.