But since you will be able to finance with LTVs, potentially higher leverage may be used and can scale the portfolio faster with the right strategy. 

I completed an internship in commercial real estate, and I also attended a couple of local REIA meetings/networking events before moving to Northern VA.I was able to narrow down potential strategies, and I figured both BRRR as well as wholesaling don't seem to be the best strategies for me.

Seacoast NH, for example, has some great potential with short-term rental markets (Airbnb, VRBO), especially in towns like Portsmouth or Hampton, but the regulations can be a bit tricky.

Do certain properties need upgrades in order to maximize rent potential?

They will tell you the potential.  

My goals are small multifamily to financial freedom with potential to scale to large multifamily for great success.

So, it would then potentially cost you a penalty for early withdrawl and also income tax owed on it.

It's probably unlikely anything too bad would happen excluding natural catastrophes but why take the risk if the profit potential isn't there?

The deals are really so sparse that you can sit and wait and wait and wait for the right deal in a specific neighborhood or you can look at all potential deals across the Metroplex and beyond.  

Quote from @Timothy Newsome: Hello, looking to potentially use a hard money lender in NJ.