My question is: between now and when I make that first investment, is there a limit or tax traps to watch out for in deducting expenses as I set up my entity structure, pay for software tools and research materials, and (most notably) travel to markets to do market research, meet with realtors, look at properties, etc.?

When the market crashed, we went broke. 

if you don't know what this is, look it up.)how it benefits you: you pay yourself back - you pay back the cash you spent with the cash from the brand new loan.

Taking apps and structuring loans is only one part; you also have to understand marketing, lead gen and prospecting, and day to day business management.

Phoenix is a hot market for housing investors due to its increasing population, healthy job market and steady demand for housing.Why Phoenix?

Some developers build STNL and in agreement for tenant to receive heavy TI's (tenant improvements) they agree to pay above market rents.

@Brandon SarrettKeep in mind just because the tenant is month-month and you can raise their rent doesn't mean they are going to pay it or can afford it.

I’m looking into the flipping market and trying to understand more about it since that’s what I want to focus on and do in my life.

But like @Ryan Harrell and @Min Zhang said, be prepared for a counteroffer or an outright rejection.As a rule of thumb, if I were you, I’d ask myself: if I had to pay full asking price for the property, would I still want to do the deal?

I see a lot of newer investors getting into the market thinking flipping houses is easy money.