So, by the end of 5 years, your net gain will be around $33k ($93k cash pulled out minus the negative cash flow).Looking ahead:Future Cash Flow: After 5 years, assuming a 3% annual rent increase, your rent will rise to $6,955.

You want to make your investment as passive as possible and using a property manager allows you to do that.

You get a deduction for the contribution, the gains grow tax-free and as long as you use the proceeds for health-related expenses the funds come out tax free as well. 

4) would this also work to defer gains on fix and flips?

But residential re is not passive.  

But once they give it to you, you inherit their cost basis and have a taxable gain.

If you lived there 3 of last 5 years consider the value of exemption on capital gains tax.

The high end is the 20 or so co ops on 5th Avenue or Park Ave (one is on East End Avenue) that require liquid assets of $100 million + to gain board approval.  

May not be your cup of tea but they are cost efficient and they work to add passive income at a fraction of the cost to build a SFH.There are a few "Tiny Home" builders in Tampa and Manatee doing a ton of business.  

I am eager to learn the in's and out's of Charlotte residential real estate market as well as gain some experience flipping houses while turning a healthy profit for myself and investors.