I'm in Delaware and our market is not the frenzy that it was two years ago.  

Yes, I live in AZ and have managed my own STR in Delaware for 2 years. 

Quote from @Paul De Luca: @Sean McKeeThat's a good price on a 2-flat for Berwyn and I'm guessing the property needs some work.Typical Berwyn rents for the units you have described (at market levels) usually range from $1200-$1400.

What is relevant is that if someone else pays for your purchase (note: in retail home purchase it's a lien holding mortgage company that de facto owns your home and holds deed of trust until you pay them off if you get a loan to buy house) it is not in itself an indication of your evil intent or evil nature.

Best regards,Steven de Lange

Should I be forming my LLC in my home state (NY), Delaware (LLC friendly) etc.?

Hello Rolando De la Cruz, I think I can help with your question. 

So check your operating agreement and consult with an attorney knowledgeable with Delaware law (or whatever state it's incorporated in).

I have attended conferences where lawyers have spoken on using Wyoming or Delaware for this purpose.  

Even if delivered vacant it can take a considerable amount of time to legally de-regulate a stabilized building and it mostly requires you to have the units vacant for a period time (no cashflow).