Essex and Hudson county are blue (high property taxes too) and I would never buy there. 

I know the cash flow is weak, if not potentially negative, once insurance and taxes are included and that may immediately make it a bad deal for some investors.

Here's why.People are drawn to our area due to the absence of natural disasters, low property taxes, home prices close to the national median, and a thriving tech and research hub, coupled with the life sciences sector.Considering the ongoing influx of people and the likely rate adjustments announced by the Fed for later in this year, we anticipate prices actually  rising as buyers enter the market.

You will know exactly what is in each house, what the measurements are, etc. this means that if you have many you can have a standard depreciation schedule for them, it also means you can track statistics on repairs (a quote for a single home is completely applicable to any other property), how long appliances last, etc.

I am confident I can find a buyer for the unwanted property but I want to make sure I am reducing my tax burden as much as possible.

Tax rates are very high level, so you will want to adjust that as you pick a more specific location to model out.  

The downsides are you’re paying taxes that will go away at their passing.

Additionally, for rate-term refinances, many DSCR lenders have no seasoning requirements at all.Easier qualification: DSCR lenders have much lighter qualification requirements than conventional or portfolio lenders, such as no DTI, income verification, or tax return hurdles that can slow down or disqualify loansFlexibility: While conventional and bank lenders are heavily regulated and follow standardized rules, DSCR lenders have much more flexibility and control over their guidelines.

Have you ever identified more than three replacement properties in a 1031 tax exchange?

For example, there is one poster here who's business offers a note fund set up as a c-corp rather than an LLC in order to offer dividends that are more tax friendly for IRA accounts (at least that is how I interpreted it).