Yep I look at it this scenario like issuing a hard money loan to myself since I recoup the interest in the 401k.

To me the biggest issue with out of state investing and long term rentals is that you have to deal with property damages and/or evictions. 

Agents have a legal obligation to present offers, BUT sellers do NOT have any obligation to respond to your offer!

Occasionally there’s really an issue but usually it’s a busybody who doesn’t like what the neighbor is doing.

However, I think your bigger issue is going to be putting 5% down on a small multi-family.

@Patrick ShepWell said @Bill B. the lending wouldn't be an issue in this case as long as you meet your reinvestment requirements.

Part of it is due to a personal family issue, but part of it is due to the high prices and rates.

For instance, things like death, divorce, job loss, natural disasters, heath issues, etc may cause you to change your plans unexpectedly and may change what you do with your home as a result.

I have a Bachelors of Arts in legal studies from CWU.

I believe it is a larger issue than what we define as the economy, which is mostly measured in corporate profits and Wall Street performance, this is not what the average person perceives.