@David MazzaAs my peers already said, reinvesting income from one property into another property does not eliminate taxes on that income.

Sign up for a site like mint.com to track your expenses and eliminate unnecessary spending.

The home possible loan also has the benefit of the ability to reduce/eliminate PMI when you reach 20% equity (if you choose not to refinance). 

MD law pretty much eliminates going after pre-forclosure properties that are homeowner owned.

So without drmo and drywall you can spray texture to eliminate the panel creasing then paint.

I drove around the properties on my own, thus eliminating much unnecessary legwork on his part. 

You need to eliminate them before they get in rather than after.

You can argue that IRAs and 401ks are tax deferred but why defer taxes when with real estate you can basically eliminate them? 

If there is a similar piece of land that you do not own then you could structure an exchange to fund both the lot purchase and the construction costs.You've hit on the conventional way to defer and possibly eliminate those taxes - the 1031. 

Only other correction I want to make to the info above, you cannot eliminate PMI on this product until you hit a 65% Loan-to-Value on a 2-4unit...unless you refinance.