@Jordan StenholmI just read a  book by Ken Honda Called Happy Money, and I interviewed him.

I used my VA home loan at a 6.375%  ranch style 3 bedroom 2 bath 1316sqftPurchase Price: $268,552monthly payment is $1930  I do not pay property taxes. 

I’m trying to find out how much money can I pull out from the 8 unit which is now valued at 1.7 million.

As many investors are aware, a cost segregation study is a very beneficial tax planning tool that can create a very quick ROI.

The issue there is the $10,000 cash bond they require when applying for the permit and the length of time it takes to get your money back when you successfully complete work on the property.

.- lower turnover- easier on the units when they do move- quiet and less disturbance than traditional, younger- for fixed income, consider partnering with the local housing authority for SEct 8 vouchers, then raise rents accordingly - guaranteed money & the Sr. only pays a portion (if they qualify)Traditional renters- Higher turnover- Higher turn costs- More volatile - higher bad debt- More drug related activities- Adding in children that are hard on units- Higher eviction rates and legal costsConsider all angles before making a decision with the changes. 

Also, any idea why property tax is 2.2% in Kyle vs ~1.7% in Hutto?

Always do after-tax cash flow analyses.

@Michael Turner Yes, you can combine time to meet material participation requirements if you're tax filing status is "married filing jointly".

You can leverage your money to purchase more property, you'll increase your return, you'll earn more, and you get tax benefits.Read a few books on real estate investing to learn the power of leverage.