Do a FNMA/FHLMC cashout refi up to a loan amount that leaves your monthly cashflow at an amount you are comfortable with. 

Deduct NEW property taxes after you buyDeduct home insurance costsDeduct maintenance percentage, typically 10%Deduct vacancy+tenant nonperformance percentage(we recommend 5% for Class A, 10% Class B, 20% Class C, good luck with Class D)Deduct whatever dollar/percentage of cashflow you wantNow, what you have left over is the amount for debt service.Enter it into a mortgage calculator, with current interest rate for an investment property, to determine your maximum mortgage amount.Divide the mortgage amount by either 75% or 80%, depending on the required down payment percentage - this is your tentative price to offer.If the property needs repairs, you'll want to deduct 110%-120% of the estimated repairs from this amount.Be sure to also research the ARV and make sure it's 10-20% higher than your tentative purchase price.As long as the ARV checks out, this is the purchase price to offer.It is probably significantly below the asking price.

Welcome to the community and be ready for a huge amount of information at your finger tips.

It really depends on location, quality of home features, amount of privacy for renters/members, and competition.

Sounds like a lot of moving parts and hoops for the amount of tax savings, but that's just my risk/reward profile speaking.

The last property I sold I countered with 1) the buyer’s inspection is a yes/no within 5 days, no discounts will be given. 2) they asked for $5k off and I countered with I would discount up to $5k but the amount of the discount is the amount of EMD that is non-refundable.

There are a huge amount of US ex pats here no need to really learn Portuguese etc etc. 

@Zach Edelman Lexington has a decent amount of STR regulations now with more on the way.

Section 8 demand in Cleveland is through the roof, but unfortunately they don't actually pay that amount. 

I generally look for the areas of a market that have a large amount of available rentals on sites like Zillow or Redfin that are closer in dollar amount to the FMRs for that county.