So far, we have shortlisted Columbus, Orlando, Indiana, Vegas and Rochester.we live in Toronto and we really would like to connect with people like us who already started their journey to know about their experiences and insights of investing in the US! 

I assume you’ve got a loan that says you will be living there.

The new live local act is a game changer for vertical development in our city.

Quote from @Damon Silver: Can you clarify "you can't have another separate tenant live there?" 

My preferred options are:1. house-hack with a duplex under ARV; live in one unit => renovate => rent the other unit2. buy a SFH under ARV that could be converted into a duplex (preferably adjacent units vs top/bottom) - I'm assuming the biggest challenge with this strategy would be separating the infrastructure for utilities; and costly.

Are you planning to rent it out or live in it?

I'd recommend house-hacking a duplex or triplex if possible to help limit your living expenses.

It sounds like a single family house where you will be living in the house(personal use).Therefore, you may not be getting the tax benefits you think you are.Consult an accountant.I am not sure why your sister would agree to this as well, she is losing $170,000 in this transaction and she faces the possibility of you increasing her rent.You also have to charge market rent or close to market rent or it is all deemed personal use.

I was born in Allentown hospital many years ago, but now living near and investing in Northeast Philadelphia.

Just to confirm my understanding, you are living in a side by side duplex in Miami - you want to renovate the other side that you aren't living with a renovation loan?