There is expansion going on at the local military installation, bringing tens of thousands more people to the area and not enough housing to meet the demand.  

How does the local property tax indentity determine property type and value?

Betting that is going to happen again while new smart participants have entered the market(sophisticated players like black rock) and retail (everyone who watches finance youtube knows about real estate) I think is a foolish bet.

I like to use local lenders because they will know the rental market and local agents will know the lender can get the financing done making your offer slightly stronger over using a national lender. 

The real trick is that tax investing is really local to your market. 

They require a lot of capitol as well as cooperation from the local city and/or county. 

Do not call it a down payment if you are using it to do an option.Since he is subject to the requirements of the lease, you are required to fulfill all local requirements of a landlord.

You should speak to a few local lenders and see if they have a product that might work for you.

Yes, it is helpful to generally understand the pm space and workings, but the more important skill, to learn first, would be how to find, vet, and hire a good local property manager.

Check your local and state regulations regarding this business model.