-Cashflow-Appreciation-Mortgage Paydown-Tax Benefits (depreciation, 1031s, etc.)Buy and hold allows you to exercise all of these benefits by collecting cashflow each month while your tenants pay your mortgage for you.

@Ray Harrell,   Buyer is not satisfied with the condition of the REal Estate as revealed by the inspectionsIf written settlement of the condition of the Real Estate is not reached within the settlement period , buyer shall have the option to withdraw written request for correctionsorIf Buyer is not satisfied with the condition of the Real Estate as revealed by the inspections and desires to terminate this contract, Buyer shall provide written notification to LIsting Firm or Selleer, that Buyer is exercising Buye's right to terminate this contract withing the Inspection Period and this contract shall be terminated

THE TENANT FURTHERUNDERSTANDS THAT THE LANDLORD SHALL HAVE THE ABSOLUTE RIGHT TO DEMANDTHE IMMEDIATE VACATION OF THE PREMISES BY THE TENANT AND THAT THELANDLORD MAY EXERCISE THEIR RIGHT AT ANY TIME THAT THE LANDLORD FEELSTHAT ANY TERMS OF THE LEASE MAY HAVE BEEN VIOLATED.Put in a clause recently having to do with abandonment of property. 

And then you have students and tenants that run to the four corners of the earth and you get to launch into some exercise in which student/parent(s) you want to hold accountable. 

There are plenty of other ways to invest without taking on leverage-- exercise those.

Now here's the gray part that you have to exercise prudence and integrity with.  

The exercises are very specific and have been helpful to us.

Also what happens if the due on sale clause is exercised?

Deed executed between seller and Investor 1. 2) Investor 2 puts a 1K option on the house with Investor 1 at a purchase price of 75K. 3) Retail buyer comes along to buy house from Investor 1 at 110K with 25K down. 4) Investor 1 pays Investor 2 40K to NOT exercise the option, 25K immediately and the balance in payments over time. 5) This is investor 1's first flip and will be the only one this tax year.Other than the 1K option money which is ordinary income, what taxes will Investor 1 incur?

I would agree with you on all parts, possibly a daunting exercise...