With your skillset and limited finances, it might be great to be a small partner on a deal with another flipper or be some of the work on the deal so you can see how it feels time wise.

The only other option I see is cashing out the 403b and paying income tax and 10% early withdrawal fee (I’ m 32).

Any transfers should be made through the owner of the LLC and not another LLCSo you make a capital contribution or capital withdrawal.

As stated above, this limits your conventional loan options, and means your rate will be higher with either a Conventional Loan or DSCR loan once you do the refi! 

All that combined with limited building and no state income tax there is positive rent and appreciation. 

So if you are selling a property in a given year, it might be worthwhile to talk with your CPA and see if selling some stock at a loss would be helpful (since otherwise capital losses are limited to $3,000 as Joshua mentioned). 

Passive investing takes time up front to educate yourself, find operators and deals - but after you invest, you have limited obligations.  

You want to appeal to the most people and many buyers will want to live in the home, so having tenants will limit who it appeals to.

Hoping there is an opportunity despite my limited capital

This dynamic needs to change and hopefully difficult times like we are currently in will force limited partners to demands more transparency.