Here are the steps with explanations:1 - Get cash together.2 - Find a RE Market that will allow you to use your cash ONLY for all costs (buy/rehab/etc...)3 - Find a lender that will do REFI loans on Rentals...and what their terms are.

When I pointed out the fact that IRS regs allow this, he got silent:) Apparently he doesn't OWN rentals or he would have a clue about tax breaks (depreciation).

If the lower interest rate on the ARM allows you to buy more property, I would go that route.

A distressed property will need a "value add" to increase the value, a distressed seller can sell allowing you to profit without touching the property, but this has limitations as well as to giving a fair price and not screwing a seller.

This will allow you raise capital while bringing and bring them value which may position a partnership down the road.  

So if your higher salary from living in a high cost area offsets the higher housing price, then the necessities of life are only incrementally more expensive...this allows you to have more money to save and invest, or pay down college debt quicker etc.

From the way I understand the Garn–St Germain Act is this allows owners to transfer property into a Trust provided they keep ownership interest and the banks cannot legally call the loan due."

I have my license and it allows me to collect commissions on deals I may not want as an investors, and it sometimes adds commissions to deals I am looking at as an investor.

Condos that allow rentals are well managed it is like having an included property manager for maintenance just handle leasing and rent collection. 

Building a good Team to help you will help you get things done and allow you to spend more time on income productive things.