If the place is vacant, you are still taking that money out of your own pocket.I don't disagree with having a strong cash position; most of my properties are f&c.

Have others used them and had a positive experience?

Jackson County TDR is working hard to position our area as a year-round destination, and it is catching on, but I wouldn't count on significant, year-round cash flow from a vacation rental here.

You can find positive cash flow in both markets. 

This has created a cash position and freedom that's allowed me to start my journey into RE. 

It has had higher appreciation than nearby towns since the pandemic and you should be cash flow neutral or slightly positive day one as a long-term rental with a 20% downpayment.Note that zillow and other websites greatly understate your property taxes. 

has anyone had positive/negative results in dealing with a company called 212 Loans?

There are guidelines and guardrails, but a challenging deal can have positives and a golden deal can have issues below the surface.

Right now, the best offers around me are for some 1.3-4 million, that only generated around 100k per year gross, so there would be a high chance of not cash flowing, and paying money, especially with a commercial loan (these buildings have more than 4 units).I was thinking that although the rental itself does not generate money, I would be able to deduct the mortgage interest, and depreciation from my personal w2 income and would be net positive.

I do generally agree that once someone has their person, they are not going to be very open to switching. but if you can prove yourself with someone building that team, you may find yourself in a great position.