I am planning to get into the TN real estate market as my first investment and am looking for some information.In particular: Areas to steer clear of, property management fees, typical cosmetic rehab costs, etc.My strategy is to put large down payments on 2 properties (relative to housing prices) to help pay for my living in NY while still gaining appreciation in a growing real estate market.

It should be relatively straightforward to begin discussing the goal-setting and planning process necessary to begin transitioning from current state to future state. 

ThanksWhy do you think the city would approve that and how are you planning on getting plumbing in?

Add another $300 or so for taxes and insurance and you're at $2465 PITI. 

Otherwise you have to plan for worst possible results. 

@Kathie Mata   appliance insurance may work in some places, in my area is quite slow to show up.   

I read about a 1091 exchange and if i reinvest my money into another property within 6 months then ill avoid paying the taxes on it. is this a good plan, if not do you have any other suggestions.  

For example, more downpayment means less interest rate regardless or whatever loan.I am trying to see what sort of action I can take right now so I can plan detailed and measured steps to my goal.

I plan on using that equity to get myself into real estate investing.

I used to work in Planning & Zoning.