The Regulations clearly state how to treat a property that meets various definitions. 

Have you looked into attending local meetings and joining Facebook groups?

You can also check meetup.com or search Facebook for real estate investment groups, clubs, or meetings in your area. 

With rents cooling off, some landlords are becoming more desperate to fill vacancies and may be more inclined to approve tenants who don’t quite meet all the usual criteria.

A lot of the meetup groups also have a facebook group where they can meet/network outside of regular meetings.

I have a feeling that they are going to ask us to meet a reserve price, but I don’t know how much sense it will make to increase my offer.

As long as you meet your reinvestment requirements it doesn't matter how you allocate the proceeds.Now (now not needed) In your case if you"re selling for $800k (after closing costs and commissions) and maybe you decide you would like to purchase two properties for $400k.

From local real estate meetings , real estate attorneys, and other local investors I’ve heard different ideas and I’m not sure which direction I would like to go. 1.

Should I meet this person over coffee?

I would love to join local meeting however i am currently located out of the Country in Tel-Aviv IL . will defiantly look into joining the Facebook groups Thanks