To answer your question (that wasn’t actually aimed at me) my concerns are investing in an area that I’m completely new to and building an out of state team that will be effective. 

The local investors will need to know their local real estate and rental markets and depending on the infrastructure the investor has in place or is willing and able to build, that will dictate how much time and effort they would need to contribute.

He took a 401(k) loan to fund the down payment on a four-unit building in a rapidly appreciating neighborhood.

Being a Section8 HUD building, there was an immense amount of paperwork and due diligence that was required.

I always research the local market, compare properties, estimate expenses, and build a reserve fund.

This is 5 mobile homes and one building being remodeled as a storage unit. 4 park owned homes and 1 tenant owned home.

Fair enough, I have partial ownership of a commercial (apartment) building in the Bay Area and I would estimate it as a Class A- to maybe Class B - great location, great tenants, nice amenities (not high end like gym, new pool, community room with big screen TVs, etc), high rents, but building is older (built in 1950s).One investor I saw post that they look at where Starbucks and Costcos are opening and possibly factor that into looking at different markets.

I’ve just made an offer on a building and the listing commission was 3% paid by the sellers.

Some of my advice you might quickly embrace, some of it you might not want to hear it........I don't know but if you want to build wealth, my advice might be helpful.  

You can't add a lake but you can build out a great kitchen with everything needed to cook anything.Every STR owner will have a different answer.