I'm looking to purchase my first rental property and have been searching for a deal that would generate positive cash flow based on my projections.

Meeting its standards makes these loans eligible to be purchased by either Fannie Mae or Freddie Mac. 

So if I’m understanding correctly, if you sell your home within 2yr of purchase, you don’t have to pay capital gains taxes? 

That being said, the vast majority of mortgage products available (primarily DSCR) to LLCs are still going to consider your personal credit in the underwriting process.

Cut your losses the first time they miss a payment and start the eviction process.

If you wanted to diversify you could use the income and purchase other properties, slowly add other properties. 

It’s just part of the process.

Deal 2: Duplex (older home that needs TLC in good location)Purchase price: 120k, Rehab 40k, Total all in: 180kExpected Rent: $2,400/month to $2,700/monthDeal 3: 5 Plex (is that even a word?

Delavan has come a LONG way recently and prices are shooting though the roof both for rents and to purchase. 

Evaluate the situation to see if you could have done anything differently to mitigate the loss and implement changes to your processes, but know that this happens and hoepfully just not too close together.