I'll wait and assess the situation in a few months (if it's still available).

There is a lot of conflicting info online in regards to these situations. 

I would like to start investing in real estate once I get situated down there.

They might have access to portfolio loan programs that fit your buyer’s situation. 

The main thing being: giving up a property that appears to have appreciated pretty well is just a touch pill to swallow and I've regretted a few moves I've made when put in a similar situation to yours, and I had less equity in mine.It sounds like you're moving to Raleigh in the near future and want to buy a multifamily to househack.

My question to you all is: have you ever had to deal with situations concerning family and friends not fulfilling their respect for you and your property as tenants?

Still, you may not have to submit your tax returns. more info would be needed to know for sure, reach out to a seasoned loan officer for pre-approval and see if your situation would allow for this. 

With out reading th contract I can't know if it is legal but it sounds like they created a situation where they have to be the manger.  

If this was your current situation (paid off house in my location) and had less than stellar credit, what would you strategy be to scale quickly but sustainably? 

The ideal situation is you guys updating and moving.