House Hacking is the best way to start since you do not need to put 20% down. 

They bought one note and of course its NPN to start cant get it performing and having to deal with the servicer and they send me the laundry list of everything they have to do and they quickly realize holly cow this is a ton of work for a small investment with little to no upside by the time they put all those hours into it and risk basically getting some house back half a country away  :)…  So folks jump in but then reality sets in..

If there is no solution other than "you take the risk", it seems this would be a death-toll to selling houses at auctions absent a huge bucket of cash to cover losses if they happen.  

Because I live in the stupid litigious state of California and I don't want my house locked in probate if something should happen to myself and my wife.

I’m interested in house hacking as a potential solution.Should I:Keep saving and wait?

He told me he was going to not comp my house for my area but the city i stay in so many words.

House Inspectors. https://www.mrhouseinspectors.com/Yes, his last name is actually House...

And once the house is finished, you have multiple options for refinacing and selling the property.Let me know if you would like a term sheet for a construction loans, thanks, Dustin

You also might want to change the "Houses for Sale" link on your website to read something else.  

You can make offers on 2-3-4 whatever number of houses, but don’t put down deposits on homes you don’t plan to buy.