In efforts to avoid building 4 story buildings in this neighborhood How would I even begin qualification for financing of this caliber.

They do not understand how much effort goes into being a LL. 

@Naji Ray - Getting payment out of tenants who were evicted is a time consuming and often fruitless effort.

I know that I could go to the county to try to discount the value of my primary residence, but is that even worth the effort? 

Build genuine relationships 

I know there are quality tenants in other demographics, but this is the dominant renting demographic in my area and I'd like to make my advertising efforts as effective and efficient as possible.  

To you it may mean something different, but I truly believe the way this video should be understood is as follows (at least this is how I took it).To genuinely have decided to start (to take that first step) with the purpose of genuinely intending to finish at that goal.

But since being a limited partner would involve a lot more time and effort than index funds, as you would have to find the syndicator, choose what city to invest in, the neighborhood, etc, how is this better than just sticking to index funds?

I think it depends on how much you are actually pulling in from this place as to whether or not it's worth all the effort. 

If I were to start my own fast food burger spot, with full faith and extraordinary effort, I too would still succeed, I believe.