Yes you can benefit from cost segregation this year if your wife does indeed qualifies for REPS.2.

Assuming that what you're stating is all checks out, you should easily qualify with a lender who doesn't have conventional overlays. 

I only have it to buy/sell my primary residence.

Investment Info:Single-family residence buy & hold investment in Daufuskie Island.

I didn’t state on the application that you can not have an eviction or crimes on your record to qualify so can I legally use that as my reasoning?

It's unlikely any long-term tenant is going to like you using the residence below them for a STR, watching a parade of people come in and out. 

I would also like to not have to spend a million bucks on a primary residence there, everything here is expensive and I question why I don't cash out and move elsewhere, simplify my life, quit my W2 job, etc. 

Investment Info:Single-family residence buy & hold investment in East Cleveland.

That stretches your money farther, have better appreciation, loan buy downs, and tax write offs as a primary residence.

Hi,I am not a real estate investor and the extent of my real estate experience is owning my own primary residence for which I have a mortgage.