Sounds good, is the reverse exchange akin to an EAT or an entirely different animal?

However, with the SFH, I could buy 1 (if not 2) in cash so I have complete cashflow coming in rather than a mortgage for 15 years, for example with the MF which will eat away at the cashflow. 

I have nothing more to add to what you already know or Joe has said except that I wouldn't let sellers dip into the security deposit for two reasons: First, you now have an unsecured unit and even if (s)he's a model tenant, when (s)he moves out you're going to eat a cost that you could/should have been able to pass on.

Vacancy eats your profits fast.

We lived frugally during our first years of marriage and we didn’t go out to eat often, we packed our lunch for work each day, and we drove the same cars we had since high school.

I am trying to build a rental portfolio, but I don't want the HELOC loan eating away at the monthly profit.

So I didn’t care about sleeping on plywood, taking cold showers, and eating sliced meat sandwiches.

That PMI you would have had to eat because it is your personal home, now can be written off in taxes with a house hack.

Otherwise, you probably are going to have to eat those costs. 

I'm aware of the dangers of doing business with friends, but I wouldn't rent this furnished house out to anyone else, and I'd rather not eat the $1900 mortgage.