This would be in central Jersey which is still a hot market as a result of record low inventory.I am planning to do this strategy since I want to put low money down (10%) on a construction loan and achieve a quick build to lower my holding fees. 

Many people won't invest in funds, including myself, and those that do only invest with people that have a long track record. 

If there are plenty of studios or private single rooms at the same price or cheaper than a shared-space room at your place, you will definitely have a hard time filling up.Are there extended-stay motels in your property's area?

Not a dumb question at all, but getting a $100K loan with no track record is difficult.

Along with the difference between studio/1br and 4+ bed properties. 

I know we can look at tax records / county appraisal districts, get BPO's / ask realtors, go to the property, but how can we see recent sales comps if we are not a realtor?

For the record, the Section 1014 step-up in basis?

Verify that the info of that landlord is correct through property records. 

How should we keep records to document that status?

Get the owner's contact information through a record-searching website and reach out.