Would it generally be a location that tends to have a higher cost of living? 

It saved my quite a bit on interest costs.

More like a 101 of taxation: you had a reserve of losses -> it helps when you have profits.And a tax geek addendum:I also do not see a direct link to cost segregation benefits here.

A debt service loan would be a good option if your DTI is high, you want to close in an LLC, you're self-employed or have low income on paper, or you don't have a stable 2-year work history.

It has been a very bad and costly experience. 

It would/could be only 15% capital gains tax and yes you could/would deduct all selling costs including commissions and transfer taxes.

Basically dollar cost averaging. 

House hacking is an excellent strategy, especially with the potential to use an FHA loan to secure a property with a low down payment. 

What happens if you buy the SFH and hate renting it by the room but the cost to maintain is too much by yourself.

This keeps your cost basis and deferred gains intact while offering liquidity and flexibility—you can sell shares gradually to spread out taxes and still receive passive cash flow, often exceeding current rental yields.A pure DST strategy can also work for passive income, but as you noted, not all DSTs are created equal.