Going from a taxable income of $1237 to a loss of $4591 would be an income reduction of $5828 resulting in $2039 in tax savings in the current year assuming a 35% tax rate ($2307 at 39.6%).This is a small example, but these numbers scale up and generally become more favorable with larger properties over $500K. 

I caveat that with, if the market does something and gives you an opportunity that seems to good to be true ( and you verify that everything as it should be ) it may be time to pool resources, scale etc.  

If I scale further up, then it might require an actual Property Manager, because I can't be there to screen that many tenants.  

I have to say, as a numbers guy, the economies of scale you're taking advantage of makes a lot of sense to me.

You seem to indicate that portfolio loans are a bad thing.So then if I don't use portfolio loans, how am I supposed to scale my acquisition of properties to any appreciable degree?

@Gabriel Craft I would buy 50/50 built-to-rent SFR in Florida and Texas with 80/20 financing, on this scale probably with private money or institutional money for the loans

Turn key is like buying a house someone flipped, you pay top market, and often is substandard quality. you are much better off buying a marginal deal that needs a rehab, and managing the rehab, at least then you have control of the quality you decide to use, and if you scale you can create uniformity to your portfolio.   

If you can find those types of deals and preferably get in and out in 4 months and do that consistently, you have a very viable and profitable business that I would scale and nail while you can. 

It depends what your goals are, but if you want to scale you have to learn how to use OPM (other peoples money).

Small scale property owners don't have many advantages over the big hedge fund guys.