So I'm doing the preliminary work in the meantime--contacting the city to see what they would like, reaching out to the residents in the neighborhood, etc That's great that you are doing your research beforehand. 

I currently reside in Ohio where I buy SFR rentals and do a couple flips a year.

That being said, there’s nothing wrong with investing in blue collar areas but I prefer to invest in the ones that have a higher degree of owner occupancy because the residents of those areas care about where they live and have deeper roots.  

https://www.biggerpockets.com/...The real threshold questions are: do you have Japanese permanent residency? 

Investment Info:Single-family residence buy & hold investment.

Here’s a bit of background on my current situation:I own one rental property that generates $1,900 per month in rental income, and it is paid off ($300K).My primary residence is also paid off ($288K).I’m currently building another rental property with cash ($200K).

Quote from @Ven Bud: After hearing to lot of bp episodes on negative cash flow, I have a question.I am currently living in my primary residence and planning to purchase an investment property, and obviously it is going to be a negative cashflow (bay area), but I am of the opinion that as long as the rent on the investment property is atleast going to be greater than my current primary residence mortgage it can still considered as positive cash flow investment.The investment property is going to be in a much better location (for office commute, bay area proximity) than my primary residence.

If he no longer resides in the home, he is no longer a legal tenant.

I own my current primary residence & have about 140K in equity.

Im basically looking for advice on how i can save as much on taxes as possible.Part of the property is your primary residence, which does not qualify for 1031 Exchange treatment.