But its lifeline is the single I35 highway running north south...In terms if Economic development- I can speak for Hutto, they are take big steps to attract investments that is boosting the local economy.

I would encourage you to do the following to set yourself up for success -1.

Hey Titus, totally can relate with you being from an expensive real estate market - I moved to Columbus a few years ago (from Portland, Oregon which was super expensive) to become a full time real estate investor, and ever since, I've completed quite a lot of BRRRRs, flips, and own a successful rental portfolio here in Columbus Ohio.

Follow the terms of their partnership agreement. 

Curious of a few things for those that execute this strategy currently:-The city the property is in has a no more than 4 unrelated people rule, would that be an issue for me if all bedrooms were full or does the fact the basement tenants would be short or medium term save me?

Question is should I pay off the down payment loan (7/1 ARM) early or put that money into savings and just refinance the ARM at end of the term?

I believe the time to purchase a rent ready property and have decent cash flow on day 1 is past, at least in the near term.  

So in short, my recommendation is to get a personal loan for as much as you can and stretch the repayments out to 72-84 months. 

Personally - we have found a lot of success scaling from single family to multi by a combination of all the above.

Real Estate is a vast industry, and with dedication, continuous learning, and ample networking, success is within reach.