Two, you'll have a much easier time obtaining a mortgage product if you have a track record of W2 income.In the meantime, continue implementing the strategies you mentioned: save religiously, build your credit, pay any existing debt owed, etc.

I've been knocking on doors, there is one that seems like it's abandoned, however despite finding the owners name from tax records I cannot seem to get in contract with them to make an offer (despite trying x, y and z). 

I just started using it and so far the owner info matches up with the county tax info. 

So all of the gain and depreciation recapture are initially still tax deferred.However, like Joe said, the down side is later when sold  you lose the 1031 option. the client will pay tax on all gain and depreciation recaptured from before the 1031 also. 

I am looking to purchase real estate for both investment purpose as well as to offset as much tax liability as possible. 

Taxes/Insurance- depends a lot on where you are located.The homes themselves- POH or TOH? 

If you're using traditional financing on your primary residence, they're going to do another credit check on you just before closing.

Yes, your rate will change but not much if you have good credit it will go up around 5.875% to 6%.

Quote from @Griffin Malcolm: Open an LLC and apply for a small business line of credit from Key Bank.

@Stefano Vrolijk it all depends on your credit history, whether you have an SSN/ ITIN and how much you can put down.