You will get a proration of the gain free according to the amount of time you lived in it versus the amount of time it was rented. 

I bet it appreciates 2 or 3k/month over time.

DSCR loans will be structured off the rent versus expenses on the property and don't consider your personal income or DTI.

But if the license is required and its a flaw on the lenders side you can bet the borrowers attorney will raise that.. 

This gives much better diversification protection across geographies, asset types, strategies, investment subclasses etc. versus putting all the eggs into one basket.The downside is that it's not for everyone, and a person has to be comfortable with turning over control to someone else.

I bet you do a great job rehabbing!

It's a way of hedging my bet using as little cash as possible.

Physical REI is not a paper investment; almost anyone whose invested on paper numbers I am willing to bet is showing a lot less than the reality of if it unless they took realized gains by selling(into the appreciation rate) or cashed out refi. 

I also tell them that I'm not doing any repairs that section 8 may require in order to move in.There is a clear difference in whether they can make you accept section 8 - versus whether the govt can make you take less money and do more to take section 8. 

But that is the key with investing, you need to have your educated guess of future events, place your bet, and hope you are right.