Low value markets might be Pennies on the dollar like you allude to. 

It turned out well but a great market also helped with that.  

Here’s our OPINION for the Metro Detroit market (use as a template for your target area!)

At what point do you start marketing?

Are there any particular markets or investment strategies you’re leaning toward?

That’s a small fraction of what all that would cost in my market.

How do I access a portion of that equity to fund the purchase of 1-2 more MFR properties in more affordable markets like OH, IN, MI, PA, TN, or AL?

I’m reminded of a buddy of mine who moved from Brooklyn to Scottsdale.. he initially thought the desert was just cacti and scorching heat, but soon realized there’s a thriving market here with pockets of real oportuntiy.Working with an investor who’s ready to spec build is a fantastic way to dive in.

The IRS seems to hedge on this and I see other custodians marketing say you cannot have full time employees.

There are a lot of affordable properties in Knoxville, but the growth isn't terribly vibrant and the deman isn't what you'd expect for a city of that size and that close to the Smokies - you're mostly looking at college rentals for the meat of the move season, and the SF market, while it exists, doesn't really compare to Chattanooga.