A couple developers we work with skip LIHTC and the tax credits and go the route of impact funds to help alongside other debt and sometimes equity. 

I want to take advantage of growth if possible, but also want to minimize taxes and fees (penalties).

If you need financial help, ask under the "Finance, Tax, and Legal" forum.

I looked into this as well since I'm getting terribly bent over on my w-2 taxes. 

If the permanent financing will allow you to recover most of your initial investment and the fair market rent covers the principal, interest taxes, and insurance with cash left over, you have a BRRRR.

Another common practice for nationally sparse datasets such as tax data is aggregation.

Tax Savings:While it’s true that the stock market has been strong, real estate offers unique tax advantages that aren’t available with other asset classes.

This might make sense, but again, you are just deferring the taxes and now pushing tax from capital gains to ordinary income. 

I understand that I need to account for taxes, insurance, and other costs—Should I go with a LML and then do a refi later on?  

The property was rented and generated $160 cash flow after mortgage, taxes, insurance and property management fees were paid.