Great thanks @Michael Smythe, in your experience can you itemize the tenants that have the Resident Benefit Package? 

If you have more of your VA availability left you may have options outside of a primary residence to use the loan as a benefit of your service to our country.

Benefits?

Hey Dina, The extensive repairs discovered during inspection could ultimately provide a tax benefit by increasing the depreciable basis of the property.

Making this particular bedroom bigger has three benefits: 1) bigger primary as I add ~100 sqft, 2) no need to change anything else except for face lift, 3) the garage is exactly below this bedroom and it's a single car garage, with this addition, it'll be two car tandem garage. 

You get the benefits of being close to all the recreation without the heavy snowfall. 

, etc.) then it really was, in order (I guess) to induce a loan or some other “benefit”.  

Higher cash flow comes in later years as rents in tge market go up and you benefit from your low interest rate.

And, you don't have to be a real estate professional to take advantage of this benefit.

Thats pretty much exactly what im asking however I don't see why there would be any issue splitting the down payment and mortgage of a 4-unit multi family with someone else especially when you can both realize the full sec 121 benefit, the mortgage and property tax deductions, ect.