Markets are extremely important for real estate investment.

While I don't expect another 2008 size wave, I do see a large hold back of inventory coming to market. 

Marketing is all about message resonance.

As far as investing in the short term I feel investing close to home (50 mile radius) is the best option because you have a superior advantage by knowing your market.

Personally, I invest in properties in C-Class neighborhoods in my market (East Linden and Southern Hilltop), and they’ve been cash-flowing well so far.

It depends on what market - the midwest markets out here like Øhio have cash flow positive deals on the market.

Don't want to pay tax on selling the rentals I unfortunately don't think they actually want to utilize the 121 to sell their existing primary and then potentially buy another one-it sounds like the goal is to ultimately continue owing that initial home which I think makes this whole plan 5x more likely to be torn apart under audit because they're trying to end up with the same property they started with.  

Shorter term CD's actually have higher rates than longer term so staying in the 3-6 month range is best.  

During this renovation period would you, as the lender, want an Actual Cash Value or Replacement Cost policy in place?

And if we don't have an actual buyer in that timeframe, does the EM have to come out of our pocket?