We're currently using it as a replacement to security deposits but I'm considering bringing back deposits since there are certain costs that Waivo doesn't cover.

You Might Not Live for FreeMany first-time house hackers expect that their rental income will fully cover their mortgage, but that’s not always the case.

I plan to wrap it as an exit strategy,  but assuming worst case scenario, If I were unable to make payments and foreclose, the seller takes the property but would my credit or record be okay?

Low down payment, but you would be increasing the value of the property with your own cash.

I don't have experience in either of those markets, but I do come from a tenant friendly market (Los Angeles). 

Springfield is only about 2 hours from me, but don’t know much about the market.

But the reality?

Quote from @Mike Romano: Hey everyone,I have a buyer ready to submit a full asking price offer on my flip, but the 90-day flip rule won’t be lifted for another two weeks.

Meetup.com is a good resource for those but some of the groups will also post here on Bigger Pockets Marketplace too.

They didnt seem thrilled about the idea but didnt outright say No, either.