That's before you pay any debt service.To answer your question: No, it's generally not a good idea to lose a bunch of money every month.

We have no debt and good credit scores, do we have any options for making this work?

To Sum it up, its a good idea if you can exceed the cost of capital (higher rate than your cost of debt) with what you earn on your heloc/debt you pull out and invest.The question is how much gains above is enough to substantiate the risk of your variable interest rate, well thats up to your personal investing criteria.

Their goal is to eliminated group homes, half way houses etc, even STR, so check out the local zoning as well. 

While I doubt I'll be investing here (terrified that property taxes and the pension debt will ultimately cripple property values), I'm always interested in meeting new people.

Quote from @Kevin Sobilo:Monthly Rent + Monthly Debt Payments <= Gross MONTHLY Rent * 45% Obviously I made a typo.

Do DSCR loans qualify if purchasing through 1031 w/debt-carry-forward requirements?

As I studied earlier, the first thing you should do is marketing, then get a call and do a property analysis to understand if it's profitable for you, then meet with the seller and sign all the necessary papers, then if there is a debt in the bank we do a reinstatement quote, then do a title search to check if there are any hidden debts, if everything is fine we look for an investor or flipper and sign an assignment of contract with him and wait for closing to get our money.

Try to arrange for an “open house” day for buyers to walk through with contractors and eliminate inspection problems/delays. 

In this case even if the project went south and you broke even or even lost money, the equity (debt) you used would still be covered by the income you are earning on the rental property.