It’s not a strategy, it is a class C felony punishable by up to 20 years in prison. 

I think you may have very well narrowed down my strategy choices down to one of three; the BRRRR method (although this might be too much to start with for a newbie), the live-in flip that you mentioned (probably the most practical as I've been part of many different projects in the construction industry), and a combination of house-hacking/live-in flip (probably the most rewarding with a potential to swap between units as I finish one in order to bring better rental income).

I'm considering diverse options for reinvesting the proceeds ($200k+) from a planned 1031 exchange and am open to various strategies:Las Vegas/Reno: These markets offer potential for both cash flow and appreciation, but I'd need more information on their suitability for mid-term rentals and current market conditions.BRRR strategy: This approach could be attractive for value creation, but I'm hesitant about out-of-state management and require a turnkey or experienced team to handle renovations.Other locations: I'm open to exploring other markets offering favorable investment opportunities, particularly turnkey properties or areas with manageable maintenance requirements.My preferences:Turnkey properties: Minimize management headaches and focus on cash flow.Limited appreciation: While some appreciation is welcome, cash flow is the primary priority.Shorter-term rentals: While Airbnb isn't an option in my current area, I'm open to exploring short-term rentals in other markets.Avoidance of major renovations: My recent experience has solidified my preference for well-maintained properties.Current portfolio:3 duplexes in Missouri (mixed performance)1 single-family home in Memphis, TN (turnkey, positive experience)Questions for the community:What are your thoughts on Las Vegas and Reno as potential investment destinations?

There are some more traditional RE tax strategies to consider.

In my understanding, it's possible to rent a house by the room so I thought it should be possible somehow with the same or a similar strategy. 

Passive income streams are a great way to create long-term wealth with minimum effort and involvement.As someone who has invested in real estate for passive income, I can attest to the benefits of this investment strategy.

The core 4 is David Greene’s long-distance investing strategy and consists of a realtor, contractor, property manager, and lender.

The top Vacation Rental Hacks I've learned in ten years as a BNB operator, DIY'er, investor and broker that has sold over two dozen vacation rentals: - Hosting and ManagementUse a local Super Host, neighbor or new friend to reduce operating costs and increase property TLC.

Buy or inherit and hold all their lives while working the properties for income.I've seen teachers, firemen, software engineers and all sorts of people utilize both strategies successfully.

You can get higher rents with this strategy and the government is paying most of your tenants rent money directly to you.