But it seems like the current house prices (3+ beds, 2+ baths with a pool) doesn't seem to incur a good cash flow.

It doesn't make sense to partner with complete strangers on the internet that are mores likely to use your money and screw you over.

It doesn't sound like a lot from your post.

A prudent investor doesn't seek quick riches through shortcuts.

I don’t do any work on them so it doesn’t matter if they’re 20 min from my house our 15 hours away.

It doesn't hurt to go over the numbers with a lender though who could give a breakdown of what a closing might look like depending on your buy box. 

There are many nuances to the liens on properties and in some instances you could be buying a note in a second position that actually doesn't give you the right to own the property above the first position.

LTR Backup Plan: I want to ensure that if the STR route doesn’t pan out, the property could sustain itself as a long-term rental (LTR).

It’s a bit of a tangled web, but if you need more info on it, do your research first, and then you can contact me to help you sort out the current rules. 3) The tax benefits are severely hampered if you there is any money from your original property that doesn’t get spent on the replacement property, so it’s best to purchase a more expensive one to avoid losing those benefits.4) It is imperative that you do not receive any money directly from the sale of the original investment property.

@Dennis GallagherAs for the 50% Rule (where your expenses equal about 50% of your revenue) - I might argue that the flaw in the theory is you will walk away from many great wealth building opportunities just because it doesn’t meet the formula.