We’ve been analyzing deals on 2-4 unit buildings for a few months and think we have identified areas and specific properties that would make great opportunities for a house hack.  

Once you've done that, then identify the markets that would best achieve your goals regardless of where they are located.

Who does the lease identify as the landlord?

I would factor that HELOC 'cost' into the multi purchase when you do identify it but multi rates even without owner occupied right now are around 3.25-3.5% so it's very attractive for a buy and hold strategy. 

Given my current cash situation and the high value of homes in the Denver MSA, I'm having trouble identifying which method would work best for me.

I could go out right now and come up with dozens of properties that I'm interested in, and you really do need to identify a LOT of properties. 

We want more than the standard 45 days to identify a good property to move our equity into via the 1031 exchange.

@Logan Pettigrew some MLS systems have a field to identify them outside of the description.

Purchase price: $700,000 Identified and acquired a low-risk bank owned duplex in San Clemente for a long-term hold period.

Purchase price: $700,000 Identified and acquired a low-risk bank owned duplex in San Clemente as a long-term hold.