But we just can’t pull the trigger on anything.

This could trigger the FHA 100 mile rule however with a few exemptions.Indeed, FHA allows you to put 3.5% down payment to invest in 1-4 units.

I checked out ab968, looks like pre / foreclosures might be a good way to go if I can find them. thanks everyone for the responses, really great info. im actually starting to see more deals on properties in need of renovation so I’m hopeful I’ll be able to find some good flips when I’m ready to pull the trigger  

I've considered putting solar panels on my investment properties, however, I have not pulled the trigger yet.

Quote from @Jon Taylor: @Pete Harper - Section 721 of the Internal Revenue Code allows an investor to exchange property held for investment or business purposes for shares in a Real Estate Investment Trust (REIT) without triggering a taxable event.

The main reason I'm asking this, is to understand how much cash I need to save up in reserves before pulling the trigger on a deal like this?

This allows you to invest in real estate without triggering the 10% early withdrawal penalty or income taxes, and the gains can grow tax-deferred (or tax-free in a Roth IRA).

Your "buy in" funds could potentially be used for improvements to the other properties you mentioned, without triggering a taxable event.

In April 2024, I finally saved enough money and pulled the trigger.

So, I'm challenged right now finding a property that will cash flow well enough for me to pull the trigger.