Route 6Lorain Ave / W 48th StLake Ave / Detroit AveAlso check out @James Wise's guide to Cleveland Neighborhood!

Another route for me is the Bronx, where home prices seem to have leveled off a bit, but rents are much higher. 

Without razor sharp local knowledge, I'd be concerned you'd eat the capital gains or settle for a sub par asset if you're going the 1031 route. 10 cap properties are out there though possibly in less desirable peripheral markets, and likely requiring you/ a carefully chosen team to be local for some time to stabilize and put management in place.

Though I have gone through the buying process a few times now and am familiar with those steps, it was done via the standard realtor + MLS route.  

Your budget is best fit right along route 40 from baltimore county (Dundalk) all the way up into cecil county (north east).

So, you may have to go the conventional rehab loan route as a non-owner occupied borrower and include the studio construction $$$ into the loan. 

@Sofia Sharkey I started taking that route and hopefully will connect with some super hosts, even just tips. 

I chose the cash out refi route just because cash is king, you only get access to a smaller amount of your equity being the downside, 75% LTV,  so about 120k in your case. 

The 20% downpayment ($225) is be less out of pocket loan costs than 10% route (113+142=$255). 

If you have good connections with plumbers, HVAC techs, etc.. then doing the DIY management route can work well.