You'll want to make sure you understand the K1/tax filing implications because if you own very small piece of let's say 10 properties in 10 different states you would potentially receive 10 K1s (one for each deal) and 'may' have tax filing requirements in 10 states. 

Our house is assessed at 415000 and the mortgage is 269000 and not declining because everything goes to interest, taxes, and insurance, nothing to principal.

Not sure your area that you're investing in, but the perfect BRRRR are kind of hard to come by now in the recent years.. so have the expectations to leave some type of money in the deal..Big thing that I've ran into and I've seen other investors run into is running out of money doing the BRRRR.. as some or most times you have to leave a bit of money in the deal, folks usually run out of cash to continue to do deals.. especially in the recent years..But good news is.. as you're holding and cashflowing on the deals, there is always opportunity to recapture the equity, not to mention tax benefits etc..I also see some pitfalls in investors getting desparate for deals, so they get lenient on their number etc.. as they do i see some get backwards on some deals...

Principle, interest, property taxes, property insurance, HOA fee, repair reserve?  

They need the insurance declaration pages (1-2 pages showing the annual premium and the insurance agency contact info), property tax bill, and mortgage statement. 

I'm hoping I can get some tips or pointers from anybody with experience in land development or buying land off tax auctions.

Texas property tax sales.

An easy math example is $1,250 of rent needs to support $1,000 of mortgage, property taxes and insurance and HOA (if applicable). 

Question: If we move the house to a different location vs demolish how  would this affect the 1033 and capital gains tax.

Is your DSCR ratio greater than 1-meaning are you cash flowing (according to the lender's criteria of mortgage, property taxes and insurance (and HOA) if applicable).