There is the positive cash flow while having a tax loss benefit too consider with this method, but if you 'buy and hold forever' (somewhat our plan also) there comes a point where with rising rents and declining interest payments when that tax loss benefit goes away.

@Kateem Aaron Guidelines are same for all whether self-employed or salary---lender look for income, liabilities and assets .

Hi everyone,I am 19 years old and a freshman at UBC (Vancouver). I recently became very passionate about real estate, and decide to do some investing this summer.I currently rent a small basement room for $800/month. ...

Hopefully, I'm able to place myself in a better position by the end of summer to go with an FHA loan.  

I won't be in a position to even refinance my current home until sometime next year, and then I can begin the process of building the rental empire one brick at a time. 

@Brian Medansky I've gotten a lot of positive feedback from my realtor, lender, inspector, attorney all saying the area is set to appreciate in the next 3-5 years.

I've since bought a fourth and really like the business, mainly because I haven't had any negative cash flow property yet and they all start to have positive cash flow within two years. 

And you’re trying to replace $8000 in salary.

I also understand that I may only be able to acquire 3 properties in the exchange.Also, getting in a position where I could finance that many at once poses a challenge. 

This would nearly wipe out your cash flow, so it's something you may want to get more information/confidence on for a buy/hold position and no plans to sell to cash in on the appreciation value.