He really just wants the money to grow.Even thought about house flipping to increase the 1 million a little to get some more properties but looking for more insight Assuming you aren't in NIgeria or China doing the bait and switch routine . . . ;-)You haven't stated what his goal is.

After my refinance, the numbers roughly work out to a savings of $450 a month and my mortgage now is just over $1k a month.

You should expect to work out the kinks (people and resources) when you are investing out of your area. 

But their plans don't always work out. 

As long as you abide by their policy of one year occupancy and "upgrade" your living situation, you would be able to get a second property under it (assuming your numbers all work out).

@Puri Indah, You and your accountant will work out a reasonable allocation of starting basis in that property. 

A little back story of myself, I work out of town.

I'd go with shorter leases (like month to month) so if it doesn't work out for one reason or the other, you can get rid of them pretty easy.Best of luckStephanie

I would send a message letting them know that they have until Wed next week to contact you about payments and let them know that you are willing to work out a payment plan. 

Then work out the return based on the new #’s.