Your primary residence - if you've lived in it for 2 out of the 5 years prior to selling you'll get the $250K/$500K tax free iike @Clint Galliano said. 

I live in Charlotte and would prefer a multi-family investment property that is within a 3-4 hour drive so I'm considering areas that include: Charlotte, Raleigh / Research Triangle, Charleston, and Atlanta.

Also credit score 680 with no missed payments over the last 2 years and also check their criminal report just to make sure you know who these tenants are, as the eviction process in New York city is very long and expensive. 

Quote from @Cody Ford: Im currently looking at a property that has tenants living in them.

They're not stuck as in "there are no other options", they're stuck as in "there are cheaper, crappier options but we'd have to pack up our entire lives and deal with the other expenses/headaches that come with moving so I guess we might as well just suffer with the increase". 

Building small units in small counts is expensive development.  

Considering that, you are likely going to see appreciation year over year, which essentially will be additional equity you'd capture just by simply living in the home. 

I live in San Diego and am trying to purchase my first investment property I have about 150K to put down but am struggling to find deals that meet my price point. 

I live approx 60 miles north of Atlanta.

@Jorge Caceres  too bad that can be expensive.