Once that's covered, you can go all-in on those fabulous renovations.Effective marketing plays a pivotal role in attracting tenants and increasing property appeal.

A 4-plex would be ideal and you could play around with doing 1 long-term, 1 mid-term, and 1 short-term, plus you, if it works on your area to upgrade your income.

If we sell, we will have between $150-200k to play with.

Appreciation in most Sec8 neighborhoods is very low so it’s a cash flow play.- I would highly suggest you plan on using a property management company.

You will not have the rate long enough for it to interfere with your current and proposed profits.This is where having a good team comes into play for example having a seasoned realtor who knows the market on the purchase/ARV side.

You have to value your time, leverage your skills, and execute a long or short term play. 

And dont know about Ken.. but his partner for sure was very versed in sub to.. the information was accurate as we both kind of played in the northwest sandbox . and before sub to foreclosure rescues / rent backs became illegal in about 08 I personally did a few hundred of them. 

Others noted that the appreciation play could make it worth keeping, I tend to look more heavily on appreciation since real estate investing is more of a long term game.

This will be a 10 year play.  

FHA is unlikely to play nice in this situation.Bank statement loans might be an option for you.