Not exactly sure what Safeguard does but if they are originating notes for owner occupied properties then they need to follow the Dodd Frank rules and anyone buying such notes should make sure they did.  

So if you make you buy box too tight, you will find very few deals that will fit your buy criteria. 

Is there a buy out plan?

A 1031 exchange is for selling an investment property then buying another investment property. 

The moment you buy an investment property, start a side hustle, or even experience a major life event (marriage, kids, inheritance, etc.), taxes get more complicated.

Otherwise, get a HELOC to access the equity to buy a home in AZ.

Of course unless your buying defaulted notes at the get go then again as Chris mentioned this type of fee should be handled up front.. and if it new origination your making and then they go bad.. in your foreclosures you can charge the borrower these fee's when they cure or add it to you opening bid and when someone buys it at the court house you get repaid..

We were able to negotiate a buy down on the interest rates. 

I have been consuming as much education/reading regarding out of state investing as I can as well as literature regarding buying larger buildings (not quite the syndication level) although I have been reading that material as well to digest.

TurnKey, Buy-and-holds, flips, or maybe long-term rentals?