As mentioned above contact a tax planning specialist.  

Just curious, when you mentioned other strategies, did you mean strategies such as Air B&B, guest homes, glamping, things of that nature?

The markets you mentioned in your initial post in this thread are great markets, but they're all heavy on appreciation and light on cash flow.

I recently watched a video where Troy Kearns mentioned he could source a high-quality quartz slab for $100 from China, which got me thinking about exploring similar options.Has anyone here ever imported materials like hardwood floors, countertops, or tiles from China for a project?

New Britain is where you are going to get the best ROI like you mentioned and this is because as a whole there are more areas within the city where qualified tenants are looking to live and the purchase prices are lower while still maintaining competitive rents.

Funny you mentioned a $600K house doesn’t pencil out as a rental.

(You mentioned values have doubled or tripled in 7 years, but rents are also up 60-80% or more.

Sorry, we should've mentioned that to you guys." 

It has been mentioned above but your best bet is to separate the SFR and the 8 unit into two separate transactions.

BTW, I could have mentioned earlier, when we refi'd in 2022 the appraiser came in at 1,300,000 and verbally told me that he struggled as he believed the property was likely worth more based on the location, views, income.