What are the places that are are poised for growth (and merit investment), areas that are already up and coming, and areas that are considered hot markets? 

I'm not going to go into the merits of whether or not you should hold it for them.

. ** and before everyone says that estimating capex at a city level is impossible, that certainly has merit. 

Every deal has to work on its own merits. 

I know people say find the deal first and funding will get into place based on the merit of the deal, that's seems logical.

(IE: I'm concerned that refinancing at $290K puts us at the top of the market and at risk for being underwater when it goes back down)And do you have any opinions on the relative merits/safety of leveraging your primary residence to start investing? 

They want their leasing broker to do that and only present sites that have merit to go to the next phase.

First of all, I don't think this situation merits it. 

The merits we've thought to both are: fewer properties = fewer tenants but more eggs in one basket; more properties = more diversity, fewer eggs in one basket, but, more tenants = more headaches.

With the market this hot I can afford to wait for a better/bigger entry point but I also see the merit of starting my practical learning now.