If you have a chunk of money to get going I'd personally buy the biggest thing you can if you don't I think house hacking into a 4 plex is great. 

The first is that there's no consensus between tax professionals, and the second is that you will not like my personal interpretation.My interpretation is:Until the property is "placed in service" - everything goes into basis.Illustration.You buy a property July 1st.You finish rehab November 1st and put the property on the market.Your tenant moves in January 15th.The property was placed in service November 1st, and it does not matter that the tenant did not move in until the next year.Everything paid between July 1st and November 1st, including interest and utilities, goes into basis.

Fast forward 2 years his landlord mentioned in passing he might sell the property; I was the first person on his mind.

@Malcolm Brown Are you planning to purchase a property in your personal name or via an LLC?

But the risk to the seller on this deal is immense you have a guy tying up a property who has no ability to close it and then sell it to whoever will give him money and that person could be nefarious get into title rip rents could give 2 craps about the sellers credit etc etc..

Personally I will not work with them specifically due to this fee.

Would love feedback from anyone with personal investing and/or property management experience in these cities.

You now don't seem like the type of person most of us would accept a recommendation from.

People like to rent from a person not a 'brand', it's more personal.

Affordability for the average person is essential, in my opinion.