Location plays a big factor into this question. 

Check out this article that sheds light on how they come into play with this strategy.

However, from the stories I've heard it so far, sounds like it can lead me to the life I want for my future if I play my cards right.

Preference is cash-flow, but open to appreciation/equity plays as well.

A lot of new constructions are more of equity plays than cash flow plays.

From there, you could do a cost segregation study on that property which will lower taxes for that year and potentially create additional carryover losses.Always options to keep reinvesting assuming the equity is there to keep playing the real estate market 

Your number two is a bit different than what to expect on a short-term rental play.

I had a good friend when I lived in Napa and played golf with him frequently he was a Brain Surgeon and had the yipes something fierce could not make a 2 foot put to save his life..

How the subscription agreement or paperwork you signed to do the deal would play a role in what you can and cannot do.

They are just playing with fire, really, but it happens everywhere.